Details on Transfer Payment Programs under $5 million

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Airports Operations and Maintenance Subsidy Program

General information

Start date

July 1972

End date

Ongoing

Type of transfer payment

Contribution

Type of appropriation

Appropriated annually through the Estimates

Fiscal year for terms and conditions

2016-17

Link to departmental result(s)

Transport Canada manages its assets effectively and provides an efficient transportation system.

Link to the department’s Program Inventory

Transportation Infrastructure Program 

Purpose and objectives of transfer payment program

The program supports the priorities of the federal government and TC by:

  • Looking after transportation infrastructure for Canada to improve efficiency and ensure service,
  • Supporting essential services to some remote communities; and
  • Supporting and advancing Transport Canada’s mandate of having a transportation system in Canada that is recognized worldwide as safe and secure, efficient, and environmentally responsible.

Specific immediate and intermediate outcomes are that:

  • Airports are open year-round; and
  • Safety levels are maintained or enhanced.

The ultimate outcome is that:

  • Airports are certified to be operational.

Results achieved

Airports remained certified, operational, and open year-round.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program was last evaluated in 2016-17. There are no immediate plans to evaluate as it is a low priority/risk to the department.

Engagement of applicants and recipients in 2021-22

  • Discuss with the beneficiaries to ensure that the terms of the contribution agreement are clear and understood;
  • Complete an annual review of the budget by comparing the income and expenses from previous years for budgeted items;
  • Maintain a permanent dialogue with the recipients.
  • Follow up with the recipients on project activities, funding requirements and reporting requirements.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

 

 

 

 

 

 

Total contributions

1,977,781

2,461,492

1,600,000

1,985,366

1,978,356

378,356

Total other types of transfer payments

 

 

 

 

 

 

Total program

1,977,781

2,461,492

1,600,000

1,985,366

1,978,356

378,356

Explanation of variances

Actual spending in 2021-2022 was more than planned because of the following:

  • Decrease in airport revenues caused by reduced traffic and difficulties in collecting revenues from carriers;
  • Increase in non-discretionary expenses for recipients to meet their obligations in their lease and the requirements of a certified aerodrome operator such as safety management system, airport security regulations, environmental management system; and
  • Other unplanned expenses due to equipment breakdown or inclement weather.

Allowances to Former Employees of Newfoundland Railways, Steamships and Telecommunications Services Transferred to Canadian National Railways

General information

Start date

June 22, 1954

End date

Ongoing

Type of transfer payment

Contribution

Type of appropriation

Appropriated annually through the Estimates

Fiscal year for terms and conditions

2015-16

Link to departmental result(s)

The Program is a legacy program that is not linked directly to a departmental result.

Link to the department’s Program Inventory

Transportation Infrastructure Program

Purpose and objectives of transfer payment program

The objective of this Program is to make supplemental pension payments to former employees of Newfoundland Railways, Steamships and Telecommunications Services who transferred to Canadian National Railway following the union of Newfoundland with Canada. Transport Canada assumed responsibility for the portion of pension costs not payable by Canadian National Railway or the Government of Newfoundland and Labrador for the transferred employees.

The Program does not have repayable contributions.

Results achieved

All payments to pensioners were paid on time in 2021-22.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program has never been evaluated. There are no immediate plans to evaluate as it is a low priority/risk to the department.

Engagement of applicants and recipients in 2021-22

Not applicable

Financial information (dollars)

Type of transfer payment

2019–20
Actual

spending

2020–21
Actual

spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

 

 

 

 

 

 

Total contributions

134,236

111,141

259,000

111,141

90,903

(168,097)

Total other types of transfer payments

 

 

 

 

 

 

Total program

134,236

111,141

259,000

111,141

90,903

(168,097)

Explanation of variances

Expenditures are based upon the number of surviving pensioners. As this number declines, the amount paid out annually declines accordingly.

Asia-Pacific Gateway and Corridor Transportation Infrastructure Fund

General information

Start date

October 20, 2006

End date

Ongoing

Type of transfer payment

Contribution

Type of appropriation

Appropriated annually through the Estimates

Fiscal year for terms and conditions

2012-13

Link to departmental result(s)

Transportation corridors get products reliably to market

Link to the department’s Program Inventory

National Trade Corridors Program

Purpose and objectives of transfer payment program

The Asia-Pacific Gateway and Corridor Transportation Infrastructure Fund aims to address capacity challenges facing Canada’s Asia-Pacific Gateway and Corridor transportation system by providing funding for strategic infrastructure projects in British Columbia, Alberta, Saskatchewan, and Manitoba that:

  • Improve the competitiveness, efficiency, and capacity of Canada’s multimodal transportation network; and
  • Are focussed on increasing international commerce with the Asia-Pacific region.

The Program does not have repayable contributions.

Results achieved

There was only one project remaining under the Fund in 2021-22. It was completed by the end of the fiscal year.

The project was located in Prince Rupert, BC. It improved traffic flows and safety within the City of Prince Rupert and facilitated the movement goods in the region.

This Program is now considered complete.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program was last evaluated in 2017-18. It is scheduled for an upcoming evaluation in 2023-24.

Engagement of applicants and recipients in 2021-22

There are no further engagement activities with applicants and recipients planned for this Program.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

 

 

 

 

 

 

Total contributions

5,944,388

13,342,871

1,498,573

2,174,117

2,174,116

675,543

Total other types of transfer payments

 

 

 

 

 

 

Total program

5,944,388

13,342,871

1,498,573

2,174,117

2,174,116

675,543

Explanation of variances

The variance is due to technical challenges as well as impacts of COVID-19 pandemic to one of the projects in 2020-21, which did not allow sufficient time to spend the funds as planned in 2020-21. The lapsed funding was moved to 2021-22 and was fully spent in that year.

Community Participation Funding Program

General information

Start date

April 1, 2015

End date

Ongoing

Type of transfer payment

Grant

Type of appropriation

Appropriated annually through the Estimates

Fiscal year for terms and conditions

2017-18

Link to departmental result(s)

Canada's oceans and marine environments are protected from marine shipping impacts

Link to the department’s Program Inventory

Protecting Oceans and Waterways

Purpose and objectives of transfer payment program

The overall objective of the Community Participation Funding Program (CPFP) is to encourage the effective participation of Indigenous and local communities (as well as increase the capacity of those communities) to engage and share their knowledge and expertise in the development and improvement of Canada’s marine transportation system, including area response planning activities.

The Program does not have repayable contributions.

Results achieved

Due to the COVID-19 global pandemic, fewer than expected CPFP-related consultations took place. In 2021-22, 70  projects were funded. Projects in 2021-22 primarily focused on:

  • The Cumulative Effects of Marine Shipping initiative; and
  • Oceans Protection Plan (OPP) Dialogue Forums. The Forums, which began in 2017, are an opportunity to receive information about, and get engaged in OPP initiatives.

In 2020-21, TC looked at ways to streamline the CPFP. As a result of this analysis, starting in 2021-22 changes were made to the delivery of the program which have enabled:

  • Improved client service as payments to project recipients are now, on average, faster;
  • Better forecasting CPFP grant expenditures;
  • Reduced administrative burden for both the recipient and for Transport Canada; and
  • Improved efficiency and effectiveness of the Program as lapsed (i.e., unclaimed) funding per project has largely been eliminated.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program has never been evaluated. It will be evaluated in 2022-23 as part of the Oceans Protection Plan.

Engagement of applicants and recipients in 2021-22

Officials responsible for this transfer payment program consult with applicants and recipients regarding the funding of CPFP grant program and offers information sessions and various meetings.

Applicants and recipients also have access to a Program email inbox and Project Advisors are in place to ensure that the funding is used for its intended purposes.

The differences between actual activities undertaken and planned activities outlined in the 2021-22 Departmental Plan are that activities/consultations have been reduced due to COVID restrictions and Indigenous capacity to engage due to the COVID 19 pandemic.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

645,382

289,284

500,000

500,000

253,577

(246,423)

Total contributions

 

 

 

 

 

 

Total other types of transfer payments

 

 

 

 

 

 

Total program

645,382

289,284

500,000

500,000

253,577

(246,423)

Explanation of variances

Due to the COVID-19 global pandemic, the number of consultations related to improvements of Canada’s marine transportation system was greatly reduced. As such, expenditures were much lower than originally forecast.

Contribution in Support of Boating Safety

General information

Start date

April 1, 2009

End date

Ongoing

Type of transfer payment

Contribution

Type of appropriation

Appropriated annually through the Estimates

Fiscal year for terms and conditions

2015-16

Link to departmental result(s)

A safe transportation system

Link to the department’s Program Inventory

Marine Safety Oversight Program

Purpose and objectives of transfer payment program

The goal of this Program, which is known publicly as the Boating Safety Contribution Program (BSCP), is to promote boating safety and advance boating safety among waterway users through education and awareness. The Program consists of three components:

 The Program does not have repayable contributions.

Results achieved

Under the Small Vessel Safety Component, 14 projects were funded that increase the safety of small vessels that regularly interact with larger ships.

Under the Recreational Boating Safety Component:

    • a call for proposals was launched and 11 new projects were approved;
    • two projects were completed; and
    • multiple projects received a one-year extension to complete their projects as a result of delays due to COVID 19.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program was evaluated in 2015-16. There are no immediate plans to evaluate as it is a low priority/risk to the department.

Engagement of applicants and recipients in 2021-22

Applicants and recipients were engaged through the following:

  • Information sessions aimed at providing advice on the program and the application process;
  • Variety of meetings and committees; and
  • Project reports and annual and final reimbursement requests.

Applicants and recipients also have access to the Program's e-mail advisors mailbox and project desks to ensure that project implementation, monitoring and progress reporting functions are available.

Consultations are also offered by the Office of Boating Safety for relevant subject matter expert questions.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

 

 

 

 

 

 

Total contributions

839,301

289,154

3,225,000

4,169,920

3,175,620

(49,380)

Total other types of transfer payments

 

 

 

 

 

 

Total program

839,301

289,154

3,225,000

4,169,920

3,175,620

(49,380)

Explanation of variances

As noted above, the COVID-19 global pandemic created challenges for the BSCP. For the:

  • Recreational boating safety component, eight projects encountered delays, primarily due to COVID-19. This required amending their agreements and delaying some of their planned 2021-22 spending until 2022-23 and/or 2023-24; and
  • Small vessel safety component, several projects were completed under budget.

Contributions to Quebec Toward Highway Improvements to Enhance Overall Efficiency and Promote Safety While Encouraging Industrial Development and Tourism from a Regional Economic Perspective: Outaouais Road Development Agreement

General information

Start date

January 7, 1972

End date

Ongoing (until all planned projects are completed)

Type of transfer payment

Contribution

Type of appropriation

Appropriated annually through the Estimates

Fiscal year for terms and conditions

2009-10

Link to departmental result(s)

An efficient transportation system

Link to the department’s Program Inventory

Transportation Infrastructure Program

Purpose and objectives of transfer payment program

The Outaouais Road Development Agreement (ORA) makes contributions to the Government of Quebec for highway efficiency and safety improvements in the Outaouais region, while encouraging regional and industrial development and tourism in the National Capital Region.
The Program does not have repayable contributions.

Results achieved

Most projects under the ORA contribution agreement are complete. The remaining projects have progressed steadily and documentation to request reimbursement claims are still being collected. TC is anticipating requests in future years to cover work already done and projects not yet started.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program was evaluated in 2016-17. There are no immediate plans to evaluate as it is a low priority/risk to the department.

Engagement of applicants and recipients in 2021-22

Until recently, there have been no plan to engage the Recipient concerning the design, delivery, and evaluation of the Program. However, TC will continue to consult with the Recipient on project implementation and budget.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

 

 

 

 

 

 

Total contributions

135,968

 

13,789,677

10,789,677

4,283,677

(9,506,000)

Total other types of transfer payments

 

 

 

 

 

 

Total program

135,968

 

13,789,677

10,789,677

4,283,677

(9,506,000)

Explanation of variances

The planning of the Highway 5 project has been in the works since 2015-16 but final design is not completed. Other considerations, including labour market challenges delayed the completion of the project design and pushed construction dates further. The surplus of $9,506,000 from 2021-22 has been reprofiled to 2026-27.

Grant to the International Civil Aviation Organization (ICAO) for Cooperative Development of Operational Safety and Continuing Airworthiness Program (COSCAP)

General information

Start date

1995-1996

End date

Ongoing

Type of transfer payment

Grant

Type of appropriation

Appropriated annually through the Estimates.

Fiscal year for terms and conditions

2011-12

Link to departmental result(s)

A safe transportation system.

Link to the department’s Program Inventory

Aviation safety regulatory framework program.

Purpose and objectives of transfer payment program

To provide funding to projects that improve the safety of air transport operations in parts of the world that require assistance.

The projects under this Program involve cooperative agreements between defined groups of states, with the goal of achieving a safe, efficient and sustainable aviation system.

The Program does not have repayable contributions.

Results achieved

Transport Canada contributed funding to the International Civil Aviation Organization (ICAO) Multi-Region Civil Aviation Assistance Program (MCAAP) which enables ICAO to improve aviation safety through technical assistance to member States.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program was evaluated in 2016-17. There are no immediate plans to evaluate as it is a low priority/risk to the department.

Engagement of applicants and recipients in 2021-22

Transport Canada works with ICAO to determine where the COSCAP money can be directed to improve aviation safety within the Americas region.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

59,368

85,126

130,000

130,000

31,625

(98,375)

Total contributions

 

 

 

 

 

 

Total other types of transfer payments

 

 

 

 

 

 

Total program

59,368

85,126

130,000

130,000

31,625

(98,375)

Explanation of variances

Civil Aviation is looking at programs within ICAO where the funds can be directed to improve aviation safety.

Grants and Contributions to Support the Clean Transportation Program

General information

Start date

April 1, 2012

End date

Ongoing

Type of transfer payment

Grant and Contribution

Type of appropriation

Appropriated annually through the Estimates

Fiscal year for terms and conditions

2017-18

Link to departmental result(s)

Harmful air emissions from transportation in Canada are reduced

Link to the department’s Program Inventory

Climate Change and Clean Air Program

Purpose and objectives of transfer payment program

This Program:

  • Promotes a clean transportation system by reducing air pollutants and/or greenhouse gas emissions from transportation by measuring or improving the intensity of these emissions; and
  • Encourages the transportation sector to innovate, develop and/or adopt technologies and practices that reduce greenhouse gas emissions and/or the emissions intensity of air pollutants.

The Program does not have repayable contributions.

Results achieved

In 2021-22, this Program:

  • Approved 13 new projects for grant funding from a call for proposals that was launched in February 2021.
  • Signed a new Memorandum of Understanding (MoU) with the Federal Aviation Administration (FAA), providing a contribution of $150,000 per year over five years.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program was evaluated in 2021-22. There are no immediate plans to evaluate as it is a low priority/risk to the department.

Engagement of applicants and recipients in 2021-22

Program details are posted on the program’s  website and disseminated through outreach activities, such as emails to stakeholders. Ongoing meetings occur with recipients on project progress.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

683,535

435,935

600,000

1,042,540

954,432

354,432

Total contributions

 

 

150,000

150,000

150,000

 

Total other types of transfer payments

 

 

 

 

 

 

Total program

683,535

435,935

750,000

1,192,540

1,104,432

354,432

Explanation of variances

The variance is due to the funding approval of 13 projects in 2021-22 from the call for proposals that was launched in late 2020-21. This resulted in larger funding requirement for 2021-22.

Grants and Contributions to Support the Northern Transportation Adaptation Initiative

General information

Start date

September 2011

End date

Sunset March 31, 2020

Type of transfer payment

Grant and contribution

Type of appropriation

Appropriated annually through the Estimates

Fiscal year for terms and conditions

2018-19

Link to departmental result(s)

Harmful air emissions from transportation in Canada are reduced

Link to the department’s Program Inventory

Climate Change and Clean Air Program

Purpose and objectives of transfer payment program

The purpose of the Northern Transportation Adaptation Initiative  (NTAI) is to provide federal support, in the form of grants or contributions, for a series of measures designed to develop and implement new innovative technologies, advance knowledge and ensure capacity-building, and enhance the resilience of existing and future northern transportation infrastructure to climate change.

The Program does not have repayable contributions.

Results achieved

The COVID-19 pandemic affected recipients’ ability to travel and subsequently affected overall ability to complete the project, with many recipients having sought out agreement extensions, additional funding from NTAI or third-party sources to work around travel restrictions, and/or concluding the project under scope with leftover funding. Given that this initiative officially sunset in March 2020, efforts primarily focused on closing out existing projects and completing final reporting under the initiative.

Finding of audits completed in 2021-22

No audit was conducted in 2021-22.

Findings of evaluations completed in 2021-22

This initiative was evaluated in 2021-22 under the “Evaluation of the Transportation Adaptation and Resilience Initiatives”. The evaluation found that: the initiative was uniquely situated in federal adaptation efforts, it met departmental and federal government priorities, and it has been aware of and responsive to the needs of its recipients and has bolstered the capacity in territorial governments and academia to address climate change adaptation. As the initiative has sunset, there are no current plans to act on the recommendations and actions emanating from the evaluation.

Engagement of applicants and recipients in 2021-22

Engagement with applicants and recipients on the design, delivery, and evaluation of the Program.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

128,558

170,633

 

 

 

 

Total contributions

1,123,565

616,554

 

936,562

608,531

608,531

Total other types of transfer payments

 

 

 

 

 

 

Total program

1,252,123

787,187

 

936,562

608,531

608,531

Explanation of variances

For Grants, payments under NTAI were completed in 2020-21.

For Contributions, COVID-19 restrictions impacted projects negatively by limiting travel to project sites. Project were completed with no impact to the project scope; however, less travel to project sites meant that some projects were completed under budget.

Grants and Contributions to Support the Transportation Assets Risk Assessment Initiative

General information

Start date

April 1, 2018

End date

March 31, 2022

Type of transfer payment

Grant and Contribution

Type of appropriation

Appropriated annually through the Estimates

Fiscal year for terms and conditions

2018-19

Link to departmental result(s)

A transportation system that supports innovation

Link to the department’s Program Inventory

Climate Change and Clean Air Program

Purpose and objectives of transfer payment program

The overall objective of the Transportation Assets Risk Assessment Initiative Program is to provide funding for projects that focus on improving the understanding of climate change related-risks and vulnerabilities to federally-owned and/or federally-managed transportation ets. The program has the following specific objectives:

  • Increase the resiliency of federally owned and/or federally managed transportation assets by giving decision-makers the information they need to make informed decisions; and,
  • Support research and analysis that identifies and remedies gaps or barriers to assessing climate risk.

These objectives help to strengthen the resilience of Canada's transportation system and supports the Pan-Canadian Framework on Clean Growth and Climate Change.

The Program does not have repayable contributions.

Results achieved

In 2021-22, the program:

  • funded 5 new contribution projects from the call for proposals launched in 2020-21. 
  • funded 9 contribution and grant projects the calls for proposals launched in 2019-20.
  • completed 4 contribution projects and 4 grant projects.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program was evaluated in 2020-21.

The 2020-21 evaluation findings indicate that the TARA program addresses ongoing needs for climate change adaptation in the transportation sector. The TARA initiative is aligned with departmental and government roles and priorities, complementing other federal efforts in climate change adaptation. More detailed information on the evaluation can be found at:
https://tc.canada.ca/en/corporate-services/transparency/corporate-management-reporting/evaluation-reports/evaluation-transportation-adaptation-resilience-initiatives

Engagement of applicants and recipients in 2021-22

There are no future plans to engage with applicants and recipients on the design, delivery, and evaluation of the Program.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

49,000

 

1,049,880

277,419

174,040

(875,840)

Total contributions

471,076

516,404

307,712

2,116,490

895,392

587,680

Total other types of transfer payments

 

 

 

 

 

 

Total program

520,076

516,404

1,357,592

2,393,909

1,069,432

(288,160)

Explanation of variances

The variance is due to project delays related to the COVID-19 pandemic, which impacted project activities and timelines.

Innovative Solutions Canada

General information

Start date

December 14, 2017

End date

Ongoing

Type of transfer payment

Grant

Type of appropriation

Appropriated annually through Estimates

Fiscal year for terms and conditions

2019-20

Link to departmental result(s)

A transportation system that supports innovation

Link to the department’s Program Inventory

Transportation Innovation

Purpose and objectives of transfer payment program

To support the scale up of Canadian small businesses through early-stage, pre-commercial research and development. The objectives of the Program are to:

  • Help develop a domestic market for early-stage, pre-commercial innovations;
  • Provide a mechanism for government to partner with innovative small businesses on the creation of unique intellectual property and novel solutions challenges faced by participating departments/agencies; and
  • Facilitate the subsequent testing and validation of prototypes, as well as prepare a pathway to commercialization and purchase of novel new products by government and non-government customers.

The Program does not have repayable contributions.

Results achieved

In 2021-22, the program:

  • Funded five Phase 1 grant projects from a call for proposals launched in 2020-21.
  • Evaluated five proposals for Phase 2 grant funding, in collaboration with the National Research Council (NRC) – Industrial Research Assistance Program (IRAP).

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program has never been evaluated. There are no immediate plans to evaluate as it is a low priority/risk to the department.

Engagement of applicants and recipients in 2021-22

Program information is posted on the Innovative Solutions Canada website under Innovation, Science and Economic Development (ISED). Further outreach activities were undertaken by ISED, such as newsletters to stakeholders.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

850,000

1,150,000

2,000,000

2,000,000

1,015,329

(984,671)

Total contributions

 

 

 

 

 

 

Total other types of transfer payments

 

 

 

 

 

 

Total program

850,000

1,150,000

2,000,000

2,000,000

1,015,329

(984,671)

Explanation of variances

The variance is due projects starting later than expected which did not allow sufficient time to spend the funds as planned in the 2020-21 and 2021-22 fiscal years.

Labrador Coastal Airstrips Restoration Program

General information

Start date

1982

End date

Ongoing

Type of transfer payment

Contribution

Type of appropriation

Appropriated annually through the Estimates

Fiscal year for terms and conditions

2015-16

Link to departmental result(s)

Transportation corridors get products reliably to market

Link to the department’s Program Inventory

Transportation Infrastructure Program

Purpose and objectives of transfer payment program

The Program fulfills the Government of Canada’s commitments under the 1982 Labrador Air/Marine Services Agreement with the Province of Newfoundland and Labrador to support the restoration of airstrips along the Labrador coast. This transfer payment ensures the operational capability of the airstrips are maintained at the level necessary to meet Transport Canada airport certification requirements.

The Program does not have repayable contributions.

Results achieved

  • Airport infrastructure is maintained and restored to original operational capability; and
  • Labrador coastal communities continue to have air transportation that is safe, accessible and efficient year-round.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program was last evaluated in 2007-08. There are no immediate plans to evaluate as it is a low priority/risk to the department

Engagement of applicants and recipients in 2021-22

  • Maintained an ongoing dialogue with recipient to assess change and progress via quarterly calls;
  • Followed-up with recipient as required on project activities, funding requirements and reporting requirements.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

 

 

 

 

 

 

Total contributions

1,267,759

1,387,276

1,000,000

1,360,000

1,360,000

360,000

Total other types of transfer payments

 

 

 

 

 

 

Total program

1,267,759

1,387,276

1,000,000

1,360,000

1,360,000

360,000

Explanation of variances

The cost of the project undertaken in 2021-22 was greater than anticipated following a request for proposal. Future work plans have been adjusted to account for this year’s variance.

Major Rehabilitation Work on the Victoria Bridge

General information

Start date

November 26, 2020

End date

March 31, 2024

Type of transfer payment

Contribution

Type of appropriation

Appropriated annually through the Estimates

Fiscal year for terms and conditions

2020-21

Link to departmental result(s)

Transport Canada manages its assets effectively

Link to the department’s Program Inventory

Transportation Infrastructure Program

Purpose and objectives of transfer payment program

This program provides funding to support major rehabilitation work on the Victoria Bridge related to the roadway, including the repair of structural elements and the improvement of its approaches and signalization. These activities will ensure the bridge remains safe and that commuters in the Montreal region can access its roadway.

The Program does not have repayable contributions.

Results achieved

Given that CN started construction work in April 2021, some expected results regarding this specific initiative should be achieved in 2022-23. The results aim to maintain the bridge open to road traffic by keeping it in good condition to ensure its longevity and public safety.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program has never been evaluated. It will be considered as part of the 2022-23 Departmental Evaluation Plan.

Engagement of applicants and recipients in 2021-22

Officials monitor the progress of the work through bi-annual meetings with the recipient and through the production of annual reports by the recipient.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

 

 

 

 

 

 

Total contributions

 

 

3,525,000

7,321,500

1,903,051

1,621,949

Total other types of transfer payments

 

 

 

 

 

 

Total program

   

3,525,000

7,321,500

1,903,051

1,621,949

Explanation of variances

This difference is due to the delay between the time the charges are incurred by CN in their financial system and the time the claim is made to Transport Canada. TC and CN have had discussions to adjust the forecast to prevent these issues in the future.

Payments to Other Governments or International Agencies for the Operation and Maintenance of Airports, Air Navigation and Airways Facilities

General information

Start date

1956

End date

Ongoing

Type of transfer payment

Contribution

Type of appropriation

Appropriated annually through the Estimates.

Fiscal year for terms and conditions

2011-12

Link to departmental result(s)

A safe transportation system.

Link to the department’s Program Inventory

Aviation Safety Regulatory Framework Program.

Purpose and objectives of transfer payment program

To increase the safety of air transport operations by ensuring that funds are available to cover the operation and financing of facilities and services for the safety of international air traffic provided by Denmark and Iceland for civil aircraft flying across the North Atlantic.

The Program does not have repayable contributions.

Results achieved

Transport Canada contributed to the Denmark and Iceland Joint Financing Agreements, which are administered by ICAO. Two Joint Financing Agreements cover the operation and financing of facilities and services provided by Denmark and Iceland respectively for civil aircraft flying across the North Atlantic, north of the 45-degree N latitude between meridians 15 degrees W and 50 degrees W. These services comprise air traffic control, communications and meteorology.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program was last evaluated in 2016-17. There are no immediate plans to evaluate as it is a low priority/risk to the department.

Engagement of applicants and recipients in 2021-22

Not applicable. ICAO allocates funds as per Agreements.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22 Actual
spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

 

 

 

 

 

 

Total contributions

35,563

62,635

100,000

100,000

27,616

(72,384)

Total other types of transfer payments

 

 

 

 

 

 

Total program

35,563

62,635

100,000

100,000

27,616

(72,384)

Explanation of variances

Cost is demand driven. As a result, the invoice from ICAO varies from year to year.

Payments to the Canadian National Railway Company in Respect of the Termination of the Collection of Tolls on the Victoria Bridge, Montreal and to Maintain and Repair the Roadway Portion of the Bridge

General information

Start date

1963

End date

Ongoing

Type of transfer payment

Contribution

Type of appropriation

Appropriated annually through the Estimates

Fiscal year for terms and conditions

1998-99

Link to departmental result(s)

Transport Canada manages its assets effectively

Link to the department’s Program Inventory

Transportation Infrastructure Program

Purpose and objectives of transfer payment program

In 1963, an agreement was put in place with CN once tolls were no longer collected from owners or operators of vehicles using the bridge. The purpose of the agreement is to enable CN to continue to make the roadway facilities on the Victoria Bridge in Montreal available for public use. The agreement has not affected CN’s:

  • Right of ownership of the bridge and the roadway facilities; nor
  • Power to regulate and control the vehicular traffic allowed to use the bridge.

The Program does not have repayable contributions.

Results achieved

The work carried out allowed the bridge to remain open to road traffic, keeping it in good condition to ensure public safety and the longevity of the bridge

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program has never been evaluated. There are no immediate plans to evaluate as it is a low priority/risk to the department.

Engagement of applicants and recipients in 2021-22

Officials monitor the progress of the works through meetings with the recipient.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

 

 

 

 

 

 

Total contributions

 

 

 

 

 

 

Total other types of transfer payments

3,300,000

3,300,000

3,300,000

3,300,000

3,300,000

 

Total program

3,300,000

3,300,000

3,300,000

3,300,000

3,300,000

 

Explanation of variances

Not applicable

Program to Address Disturbances from Vessel Traffic

General information

Start date

April 1, 2019

End date

Ongoing

Type of transfer payment

Grant and Contribution

Type of appropriation

Appropriated annually through Estimates

Fiscal year for terms and conditions

2019-20

Link to departmental result(s)

Canada's oceans and marine environments are protected from marine shipping

Link to the department’s Program Inventory

Protecting Oceans and Waterways

Purpose and objectives of transfer payment program

The Program to Address Disturbances from Vessel Traffic (PADVT) provides federal funding to facilitate projects and activities that mitigate the impacts of navigation on the marine environment.

The Program includes two components. The first component includes two named recipients under the PADVT for which we have:

  • A contribution agreement with the Vancouver Fraser Port Authority to provide financial compensation to shipping companies for the added expense of seasonally slowing down vessels voluntarily when Southern Resident killer whales (SRKWs) are present in key shipping corridors; and
  • A grant agreement with the Ocean Wise Coastal Ocean Research Institute (CORI), to develop and strengthen the Whale Report Alert System (WRAS).

The second component is an accommodation measure program in response to the Trans Mountain Pipeline Expansion (TMX) project called the Quiet Vessel Initiative (QVI). It includes two streams, with one directed to Indigenous groups and the other to industry and academia to support the following activities:

  • Research and development that aims to develop vessel noise reducing technologies; and
  • Study the impacts of vessel noise on the marine environment and Indigenous coastal communities.

The Program does not have repayable contributions.

Results achieved

In 2021-22, for the:

  • Voluntary vessel slowdown, during the summer of 2021, a participation rate of over 85% of vessels was observed;
  • WRAS, the fourth $100,000 grant installment was provided to the CORI to continue to make enhancements to the alert system; and
  • QVI:
    • Under the industry and academia stream, 22 contribution agreements were approved for funding with a commencement date starting April 1  2022; and
    • For the Indigenous groups’ stream, five projects started their activities in 2021-22.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program has never been evaluated. There are no immediate plans to evaluate as it is a low priority/risk to the department.

Engagement of applicants and recipients in 2021-22

Officials responsible for this transfer payment program consult with applicants and recipients regarding the funding of this Program through:

  • Information sessions;
  • Various meetings and committees; and
  • Progress/yearly reports.

Applicants and recipients also have access to a Program email inbox and Project Advisors are in place to ensure project implementation, monitoring and progress reporting functions are available.

Consultations are also provided by the Environmental Policy group for subject matter expert-related information.

The differences between actual activities undertaken and planned activities outlined in the 2021-22 Department Plan are that activities/consultations have been reduced/delayed due to COVID-19 restrictions.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

100,000

100,000

100,000

100,000

100,000

 

Total contributions

214,800

1,216,784

2,750,000

3,750,676

995,017

(1,754,983)

Total other types of transfer payments

           

Total program

314,800

1,316,784

2,850,000

3,850,676

1,095,017

(1,754,983)

Explanation of variances

Lower than forecast expenditures are due to:

  • For the voluntary vessel slowdown component, overestimating the number of vessels that would be passing through the affected waterways while SRKWs are present; and
  • For the QVI component, the start date for 22 projects under the Industry & Academia streams’ schedules was delayed and will now commence in 2022-23.

Program to Advance Indigenous Reconciliation

General information

Start date

April 1, 2018

End date

Ongoing

Type of transfer payment

Grant and Contribution

Type of appropriation

Appropriated annually through Estimates

Fiscal year for terms and conditions

2019-20

Link to departmental result(s)

Canada's oceans and marine environments are protected from marine shipping impacts
A safe transportation system

Link to the department’s Program Inventory

Indigenous Partnerships and Engagement; and

Protecting Oceans and Waterways

Purpose and objectives of transfer payment program

The Program to Advance Indigenous Reconciliation (PAIR) advances reconciliation with Indigenous Peoples by encouraging effective Indigenous participation, knowledge sharing and collaboration regarding transportation-related policies, processes, regulations, legislation and directives.

There are currently four separate initiatives under this Program, including:

  • The Marine Safety Equipment and Training Program that provides funding for equipment and training to eligible Indigenous communities to improve vessel safety and build an understanding of safety on the water along the Trans Mountain Expansion Project (TMX) marine shipping route;
  • The Indigenous Participant Funding Program, which provides:
  • The Joint Arctic Maritime Management Capacity Building Program, which encourages effective engagement with communities and provides funding to undertake related maritime studies; and
  • The Marine Protected Areas Initiative, which supports participation, capacity building and preparations for consultation and engagement processes for nearby communities.

The Program does not have repayable contributions.

Results achieved

Below is a summary of the results achieved in 2021-2022:

  • Marine Safety Equipment and Training Program, one grant agreement was signed with the T’Sou-ke First Nation and seven project proposals for 2022-23 were recommended for funding. Additional agreements are expected in 2022-23. In addition:
    • Uptake from Indigenous groups was slower than expected due to competing Indigenous priorities, impacts from the fall 2021 flooding in British Columbia, impacts of COVID-19 on community staffing levels and challenges with the application process;
    • In November 2021, Natural Resources Canada arranged a third-party resource to help Indigenous groups mitigate the challenge with the application process; and
    • The Program’s delivery model is being simplified for the 2022-23 fiscal year; and
  • Indigenous Participant Funding Program, under the:
    • Grants component, we provided funding for:
    • Contributions component, we provided funding for:
      • Three projects to support ongoing (i.e., longer-term) dialogue with National Indigenous Organizations on the implementation of the CNWA and WHAVA;
      • Two projects to support the Lac-Mégantic rail bypass consultations; and
      • Three projects to support the Quai de Portneuf consultations;
  • Joint Arctic Maritime Management Capacity Building Program, one multi-year grant agreement was signed with the Qikiqtani Inuit Association. This project is scheduled to get underway in 2022-23; and
  • Due to delays identifying marine protected areas by the lead department, the launch of the Transport Canada Marine Protected Areas Initiative was delayed until 2022-23.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program has never been evaluated. It is scheduled for evaluation in 2022-23 under the Review of Indigenous Engagement.

Engagement of applicants and recipients in 2021-22

Marine Safety Equipment and Training Program: Departmental officials work together to ensure that engagement activities are planned to not place undue pressure on eligible groups. As such, any engagement activities include all implicated groups to reduce the number of meetings and presentations, which have been done via different online platforms since the beginning of the COVID-19 pandemic.

Indigenous Participation Funding Program (IPFP): Program Officials consult with applicants and recipients regarding this funding Program through:

  • Information sessions;
  • Various meetings and committees; and
  • Progress/yearly reports.

IPFP consultations are also provided by the Indigenous Relations and Navigation Protection group for subject matter expert-related information.

Applicants and recipients also have access to a Program email inbox and Project Advisors are in place to ensure that project implementation, monitoring and progress reporting functions are available for both programs.

For both programs under the Program to Advance Indigenous Reconciliation, the differences between actual activities undertaken and planned activities outlined in the 2021-22 Departmental Plan are due to the COVID-19 pandemic:

  • Activities/consultations were reduced due to restrictions; and
  • Indigenous groups’ capacity to engage was adversely affected.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

518,460

354,906

5,836,000

6,225,048

331,585

(5,504,415)

Total contributions

138,636

70,069

1,250,000

1,827,108

553,688

(696,312)

Total other types of transfer payments

 

 

 

 

 

 

Total program

657,096

424,975

7,086,000

8,052,156

885,273

(6,200,727)

Explanation of variances

The COVID-19 global pandemic presented many challenges for the initiatives under the Program to Advance Indigenous Reconciliation. This included:

  • For the $2,800,000 allocated to the Marine Safety Equipment and Training (MSET) Program, only a small portion of this funding was expended due to slow participation uptake. Indigenous groups were impacted by other competing priorities, the effects of COVID-19 on community staffing levels, challenges with the application process as well as by the fall 2021 flooding;
  • For the Indigenous Participant Funding Program (IPFP), the pandemic caused uncertainty as to when consultations could take place, which resulted in much slower than anticipated uptake for the IPFP; and
  • For the Marine Protected Areas Initiative, due to delays identifying marine protected areas by the lead department, the launch of the Initiative has been delayed until 2022-23.

Program to Advance Transportation Innovation

General information

Start date

April 1, 2017

End date

Ongoing

Type of transfer payment

Grant and Contribution

Type of appropriation

Appropriated annually through the Estimates

Fiscal year for terms and conditions

2017-18

Link to departmental result(s)

A transportation system that supports innovation

Link to the department’s Program Inventory

Transportation Innovation

Purpose and objectives of transfer payment program

The primary objective of the Program to Advance Transportation Innovation is to contribute to the competitiveness and productivity of Canada and its transportation system through investments in activities that promote and enable innovation in the transportation sector.

The Program consists of two separate initiatives, including the:

  • Program to Advance Connectivity and Automation in the Transportation System (ACATS), that:
    • Aims to increase awareness of the safety, security, environmental, social and other considerations of connected and automated vehicles, which is intended to support a Canadian transportation system that embraces innovative technologies; and
    • Is expected to result in traditional and innovative investments in trade-related transportation infrastructure that help sustain and support environmentally responsible economic growth and jobs for middle-class Canadians; and
  • Canadian Transportation Research Forum that provides funding assistance to students by awarding scholarships with the aim of promoting and encouraging transportation research in Canada and supporting capacity building within the transportation sector.

The Program does not have repayable contributions.

Results achieved

In 2021-22, the following was achieved:

  • Funding assistance was provided for four (4) scholarships awarded by the Canadian Transportation Research Forum, which facilitated postgraduate research on traffic safety, data fusion techniques for accurate travel behaviour and demand analysis, relationship between transportation network companies and public transit, and assisting system for winter road maintenance operations; and
  • One grant and one contribution project to advance transportation innovation were completed. These are the final projects for the ACATS Program. We will be exploring options to possibly continue the Program in future years.

Findings of evaluations completed in 2021-22

An evaluation was not completed during this reporting year.

Engagement of applicants and recipients in 2021-22

Officials engaged with recipients as required on project activities, funding requirements, and reporting requirements.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

65,309

6,250

75,000

6,250

6,250

(68,750)

Total contributions

1,601,412

488,330

674,000

434,074

230,505

(443,495)

Total other types of transfer payments

 

 

 

 

 

 

Total program

1,666,721

494,580

749,000

440,324

236,755

(512,245)

Explanation of variances

Since the ACATS Program had a sunset date of March 31, 2022, surplus funding was not utilized as the window to launch a call for proposals and complete projects was deemed too narrow.

Strategic Partnerships Initiative

General information

Start date

March 2, 2020 (for Transport Canada)

End date

Ongoing

Type of transfer payment

Contribution

Type of appropriation

Appropriated from other contribution program surpluses

Fiscal year for terms and conditions

2020-21

Link to departmental result(s)

A transportation system that supports innovation

Link to the department’s Program Inventory

Indigenous Partnerships and Engagement

Purpose and objectives of transfer payment program

The overall objective of the Strategic Partnerships Initiative (SPI) is to increase economic development opportunities for Indigenous communities and businesses. Indigenous Services Canada is the lead department for the SPI which is a whole-of-government (i.e., across multiple departments) innovative Program launched in 2010 to:

  • Increase Indigenous participation in large, complex, multiyear economic opportunities that span a range of sectors; and
  • Promote partnerships between multiple federal partners (over 20 federal departments and agencies), provincial and territorial governments, and non-federal groups in key economic areas.

Transport Canada joined the SPI as a partner department on March 2, 2020.

Results achieved

One project was funded to produce a core set of resources and tools that could be used to increase the successful participation of Indigenous communities, businesses, and labour in the National Procurement Strategy to address wrecked, abandoned and/or hazardous vessels all over Canada.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program has never been evaluated. There are no immediate plans to evaluate as it is a low priority/risk to the department.

Engagement of applicants and recipients in 2021-22

Currently the SPI at Transport Canada operates on an ad-hoc basis without any dedicated funding, and all engagement is directly with the existing or potential project recipient.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021–22
Planned spending

2021–22
Total authorities available for use

2021–22
Actual spending (authorities used)

Variance
(2021–22 actual minus 2021–22 planned)

Total grants

 

 

 

 

 

 

Total contributions

 

 

 

107,892

107,892

107,892

Total other types of transfer payments

 

 

 

 

 

 

Total program

     

107,892

107,892

107,892

Explanation of variances

The SPI Program with Transport Canada currently does not receive any funding through the Main Estimates. As noted above, it is funded on an ad-hoc basis from other contribution program surpluses.

Transportation Association of Canada

General information

Start date

March 6, 2008

End date

Ongoing

Type of transfer payment

Contribution

Type of appropriation

Appropriated annually through the Estimates

Fiscal year for terms and conditions

2012-13

Link to departmental result(s)

  • A secure transportation system
  • A safe transportation system
  • Harmful air emissions from transportation in Canada are reduced
  • A transportation system that supports innovation

Link to the department’s Program Inventory

Transportation Infrastructure Program

Purpose and objectives of transfer payment program

The purpose of this program is to contribute to a safe, secure, efficient, and environmentally friendly transportation system by providing financial support to the Transportation Association of Canada (TAC) for various activities including:

  • Management and operation of TAC;
  • Technical Projects and Research; and
  • TAC Foundation.

The Program does not have repayable contributions.

Results achieved

  • Enhanced capacity and knowledge base facilitating decision-making, intergovernmental relations, and coordination amongst transportation jurisdictions.
  • Increased awareness of the role and importance of transportation in achieving Canada’s social and economic goals.
  • Increase in the number and quality of trained transportation professionals and in partnerships and outreach for innovation and skills development.
  • Developing and publishing guidelines and best practices related to road transportation design, operations, and maintenance.

Finding of audits completed in 2021-22

There is no audit work planned for this transfer payment program.

Findings of evaluations completed in 2021-22

This Program was last evaluated in 2012-13. There are no immediate plans to evaluate as it is a low priority/risk to the department.

Engagement of applicants and recipients in 2021-22

TC officials engage in discussions with TAC representatives to discuss possible future projects on an ongoing, as needed, basis.

Financial information (dollars)

Type of transfer payment

2019–20
Actual
spending

2020–21
Actual
spending

2021-22
Planned
spending

2021-22
Total authorities available for use

2021-22
Actual spending (authorities used)

Variance
(2021-22 actual minus 2021-22 planned)

Total grants

 

 

 

 

 

 

Total contributions

352,804

228,419

425,310

425,310

203,170

(222,140)

Total other types of transfer payments

 

 

 

 

 

 

Total program

352,804

228,419

425,310

425,310

203,170

(222,140)

Explanation of variances

The variance is primarily due to funds not used for technical projects and research activities, as projects proposed projects lacked strong alignment with departmental priorities and objectives.