Transcript INDIVIDUAL LEARNING - Financial Management Institute

Implementation of the
Policy on Transfer Payments
Learning Strategy
Stratégie d’apprentissage
pour la mise en oeuvre de la
Politique sur les paiements de transfert
Pierre Laflamme – TBS/OCG
Hélène Maurais – CSPS
Introduction
Purpose:
Highlight key changes within the new Policy on Transfer Payments and Directive
Highlight the training and development challenges
Presentation:
1.
2.
3.
4.
Context
Main changes – Policy and Directive
Implementation and transition
Learning and development
1. Context

Review of the 2000 Policy and Audit reports (OAG)

Treasury Board Policy Renewal - all policies to be renewed

Federal Accountability Action Plan

Blue Ribbon Panel on Gs&Cs management

5 year review of ongoing Gs&Cs program

Streamlining the web of rules - Commitment to reduce the number of policies
and rules by at least 50%

Public Service Renewal and its challenges

New policy supports enhanced accountability, risk management and
excellence in the management of the public service
3
1. Context
 Blue Ribbon Panel Report on G&C Reform
 Includes clear recommendations related to training of all
relevant public servants involved in transfer payments,
including program managers and officers, comptrollers,
financial advisors, audit and evaluation personnel as well as
senior managers responsible for the administration of
transfer payments programs
2. Policy on Transfer Payments
Main changes - from 2000 to 2008
Objective: “To ensure sound management of, control over and
accountability for transfer payments” (Policy 2000)
“The objective of the Policy is to ensure that transfer
payment programs are managed with integrity, transparency
and accountability in a manner that is sensitive to risks; are
citizen-focused; and are designed and delivered to address
government priorities in achieving results for Canadians”
(Policy 2008)
2. Policy - Expected Results

Treasury Board Secretariat and departments will adopt a more risk tolerant
approach to managing transfer payments, focusing oversight efforts where
they are most needed;

Administrative practices will be streamlined to allow recipients to better
focus transfer payment funding on the achievement of results, as opposed
to compliance with non-value added administrative requirements;

The role of applicants and recipients in furthering the objectives of
government and achieving results for Canadians will be respected through
increased external engagement during program design and establishment
of reasonable and practical departmental service standard targets;

Transfer payment programs will become increasingly harmonized within
and across departments, and administrative practices will become more
standardized.
2. Main changes - new Policy
2000 Policy Suite
2008 Policy Suite
1
 One policy and one guide
 Blended roles and responsibilities
 One policy, one directive and one guide
 Clear roles and responsibilities at all levels
2
 Most authorities centralized at TB
 Ministers authorized to make minor amendments to
T&Cs only
 Increased authorities for ministers:
a) All ministers authorized to approve continuation of T&C “as is”
following an evaluation or review of relevance and effectiveness
b) Upon request from a minister, and with adequate departmental
performance record, TB may authorize a minister to approve
amendments to T&Cs
 TB keep the right to call any Minister at any time
 Departments to consult with TBS prior to their Minister
exercising authority to amend T&Cs
3
 Prescriptive detailed requirements
 Flexible, principles-based
 New risk based approach taking into account the nature of the
activity funded, the scale of funding and track record of the
recipient
2. Main changes - new Policy (ctd)
2000 Policy Suite
2008 Policy Suite
4
 Focus mainly on departmental accountabilities
 No explicit reference to engagement of recipients and
service standards
 Requirement for risk approach(6.5.7)
 Requirement to engage recipients (6.5.8)
 Requirement for service standards (6.5.9)
5
 No explicit requirements for horizontal coordination
 Requirements to harmonize programs and standardize
administration
 Leadership responsibilities for TB Secretariat
6
 “One size fits all” approach
 Needed to manage exemptions through TB
 Specific requirements for Aboriginal groups, Foreign recipients and
Other orders of government
7
 Inconsistent selection and use of instruments
 Clarified definitions and selection criteria (Grants – unconditional;
Contributions – no longer limited to one basis of payment - eligible
expenditure reimbursement)
8
 Official languages - Chapter 1- 4 - Grants and
Contributions limited in scope and application to
voluntary sector and Financial Administration Act
schedule I departments
 Official languages must be systematically considered in program
design and funding agreements
 Applies to all Financial Administration Act departments and may
apply to any recipient
2. Main Changes - Directive
2008 Directive
2000 Policy
Core design elements:
Core design elements:
 No requirements for core design elements:
 When designing or redesigning a program, departments are now
required to assess and document upfront
Duration of Terms and Conditions (Ts&Cs):
Duration of Terms and Conditions (Ts&Cs):
 Durations of T&C to be approved by TB and limited to 5 years
 No specific duration required in T&C unless otherwise decided
by legal/policy authorities
RMAF and RBAF:
Performance Measurement in Ts&Cs:
 T&Cs to include RMAF/RBAF
 RMAF/RBAF no longer a requirement of PTP
 Requires a performance measurement strategy
 Leveraging on MRSS and the Evaluation policy
2. Main changes - directive
Before
After
Funding agreements:
Reporting, monitoring and auditing:
Cash management:
Funding agreements:
Reporting, monitoring and auditing:
Cash management:
 Prescriptive funding agreement provisions
 Risk based management is expected
 Allows for use of single funding and/or multi-year funding
agreements where deemed appropriate
 Reporting, monitoring, cash management and auditing now to be
“proportionate to the risk level taking into account the risks
specific to the program, the value of funding in relation to the
administration costs, and the risk profile of the recipient”
Specific group of recipients:
 Led to many exemptions
Specific groups of recipients:
 More principle /risk-based requirements tailored to specific
groups of recipients
Up-front multi-year funding:
 Was called “conditional grant”
Up-front multi-year funding:
 Formalizes current practice
2. Risk Management - Program Design
 Assessment of risk, leads to decisions on:
 Program design
 Types of recipients
 Types of projects, activities to be funded
 Type of instrument to use (grant, contribution)
 Basis of funding
 Administrative requirements
2. Risk Management - Funding Agreement
 Defined risk assessment factors, specific to a program, leads to
decisions on:
 Selection of recipients
 Choice of funding instrument
 Extent of monitoring
 Cash management
 Extent of reporting
 Recipient auditing
3. Implementation & transition

Transitional considerations

Guidance / guidelines for departments - key topics:






Clause by clause
Approach for Ministerial increased authorities
Summary of 3 year plan - linked to RPP
Performance measurement in Ts&Cs
Official Language requirements in Ts&Cs
Communication and supporting activities and tools
4. Learning Strategy
 Led by the CSPS in collaboration with OCG, the Center of Expertise (COE) and departments:
 OCG for training on new policy instruments
 COE for cultural change
 Departments on specifics of their G&C programs and internal practices
 Target population
 G&C Program managers and officers
 Financial advisors
 TBS analysts
 Auditors and evaluators
 Senior managers
 5 000 employees to be trained in NCR and in the regions
Key Learning Objectives
Provide participants with :
 Appreciation of the new requirements for managing
transfer payments
 Understanding of the cultural change needed to begin to
adapt departmental practices
 New skills in :
 Risk management
 Establishing service standards
 Engaging recipients
Learning Strategy
Phased-in approach :
 Phase 1 - 2008-09
 Introduction to 2008 Policy – New course F405
 Revise existing courses in Finance Curriculum
 Service standards - New course T177
 Phase 2 – 2009-10
 New learning products on special subject matters:
 Risk management
 Recipient engagement
Recommendation # 28
G & C Learning Strategy – An Overview
Support the development of technical, managerial and leadership competencies among all key partners
involved in the design and management of G and C’s programs, with the target outcome of facilitating the
implementation of the new PTP requirements.
New Classroom Courses
1. Introduction – F415
Fall 2008
2. Risk Management
(April 2009)
3. Recipient Engagement
(April 2009)
4. Service Standards – T177
( Fall 2008)
Revised Courses
Spring 2009
F405 – Managing G & C -
Jan 2009
F007 – Introduction to Financial
Management
Other Learning Activities
Armchair Discussions
Information Sessions
F708 – Preparing TB Submissions
Awareness Sessions
F712 – Advanced Planning the
Federal Government
Departmental Activities
G243 – Managing Public Funds
Campus direct on-line courses (free)
ADT Courses – G124, G110, G126,
G127
Grants and Contributions Classroom Training
 F415 - Introduction to the 2008 Policy on Transfer Payments
 2 days course
 30 offerings in the NCR  400 seats
 Offerings are being scheduled in Regions
 F405 - Managing Grants and Contributions
 Under review to integrate new Policy requirements
 Pilot in December
 Revised version to be delivered starting in January
Other Key Related Training
New:
 T177 – Service Standards and Client Satisfaction
Measurement
Under Development – New FI Curriculum
 Financial Management Control Framework (F111)
 Financial Management Lifecycle (F112)
Key Advisory Role for FI’s







Choice of funding instrument (grant or contribution)
Basis of funding
Extent of monitoring
Cash management
Extent of reporting
Year-end recognition of funding against authority
Need for recipient audit ?