Ottawa approves $6B for 2020 programs

Summary#

This is a federal appropriation (spending authority) bill for Canada’s 2020–2021 fiscal year. It authorizes CAD $6,038,435,084 to departments and agencies for purposes listed in Supplementary Estimates (A), with effect retroactive to April 1, 2020 (Appropriation clause; Effective date clause; Schedules 1–2). Most items must be spent by March 31, 2021; one item (Parks Canada) can be spent through March 31, 2022 (Schedule 2; Order of payment clause).

• Authorizes $5,902,391,417 for items in Schedule 1 and $136,043,667 in Schedule 2, totaling $6,038,435,084 (Schedules 1–2).
• Limits spending to stated purposes in each item; unspent funds lapse on timelines set in the bill (Purpose of each item; Lapse provisions in Schedules 1–2).
• Deems certain transfers approved as of April 1, 2020 to avoid gaps (Transfers of appropriations clause).
• Allows accounting adjustments after year-end without new cash payments (Adjustments clauses, Schedules 1–2).
• Increases the CORCAN Revolving Fund working-capital limit from $5,000,000 to $20,000,000 (Correctional Service Vote 10a, Schedule 1).

What it means for you#

• Households

  • Indigenous communities may see added services and contributions through Indigenous Services ($753.4 million) and Crown‑Indigenous Relations ($764.6 million) effective April 1, 2020, for uses listed in the Estimates (Schedule 1).
  • Public health and health research receive added funds: Public Health Agency ($42.3 million) and Canadian Institutes of Health Research ($40.1 million), plus Health Canada contributions ($16.6 million), supporting activities named in the items (Schedule 1).
  • Food safety and inspection activities receive $16.1 million (Canadian Food Inspection Agency) (Schedule 1).
  • Housing-related reimbursements to CMHC receive $65.8 million for eligible loans forgiven, grants, and losses under existing Acts (Schedule 1).

• Service users and travelers

  • Airport screening and aviation security operations receive $309.4 million (Canadian Air Transport Security Authority) (Schedule 1).
  • Passenger rail service and capital at VIA Rail receive $277.5 million; Marine Atlantic ferry services receive $84.9 million (Schedule 1).
  • Parks Canada may fund programs and capital through March 31, 2022 with $136.0 million (Schedule 2; Order of payment clause).

• Workers

  • Correctional Service CORCAN program gains a higher revolving fund limit (from $5.0 million to $20.0 million) to support inmate employment operations; this is an authority change, not a direct appropriation (Schedule 1).
  • Research and innovation staff may see activity tied to funding for the National Research Council ($61.6 million) and the Social Sciences and Humanities Research Council ($0.9 million) (Schedule 1).

• Businesses and nonprofits

  • Grants and contributions for economic development include Industry ($627.8 million), regional agencies in Quebec ($133.1 million) and Southern Ontario ($104.5 million), Atlantic Canada Opportunities Agency ($69.9 million), Western Economic Diversification ($25.1 million), and the Canadian Northern Economic Development Agency ($29.3 million), for the stated purposes (Schedule 1).
  • Fisheries, natural resources, and transport receive targeted operating, capital, and contribution funding that can support sector projects listed in the items (e.g., DFO $54.8 million; Natural Resources $82.4 million; Transport $52.5 million) (Schedule 1).

• Local and Indigenous governments

  • Some items permit contributions to provinces, municipalities, or local authorities for capital or shared projects (e.g., Fisheries and Oceans capital; Parks Canada contributions) as specified (Schedules 1–2).
  • Treasury Board Secretariat receives $487.6 million for insurance and paylist requirements affecting federal employees, which can influence service delivery capacity (Schedule 1).

• Timing

  • Most authorities apply from April 1, 2020 to March 31, 2021; Parks Canada authority may be used through March 31, 2022 (Effective date clause; Schedule 2 Order of payment clause).

Expenses#

Estimated net cost: CAD $6,038,435,084 (FY2020–2021).

• Grand totals and timing:
  • Schedule 1 total: $5,902,391,417; spendable by March 31, 2021; with post‑year accounting adjustments allowed before Public Accounts are tabled (Schedule 1; Adjustments clause).
  • Schedule 2 total (Parks Canada): $136,043,667; spendable through March 31, 2022; with post‑year adjustments allowed as above (Schedule 2; Order of payment and Adjustments clauses).
  • Grand total: $6,038,435,084 (Appropriation clause; Schedules 1–2).

Selected notable items

Notes

• This is spending authority tied to stated purposes; it is not a projection of actual outlays. Unused amounts lapse on the timelines set in the bill (Purpose clause; Lapse provisions).
• Several items include authority to spend certain departmental revenues to offset costs, which reduces net budget impact for those programs (multiple items citing Financial Administration Act 29.1(2)(a) in Schedule 1).

Proponents' View#

• Ensures continuity of government programs and services by providing legal authority to spend $6.04 billion for specified purposes in 2020–2021 (Appropriation clause; Schedules 1–2).
• Targets urgent operational areas, including aviation security ($309.4 million), public health ($42.3 million), and transport services (VIA $277.5 million; Marine Atlantic $84.9 million) (Schedule 1).
• Provides substantial support to Indigenous communities through Indigenous Services ($753.4 million) and Crown‑Indigenous Relations ($764.6 million) for uses listed in the Estimates (Schedule 1).
• Uses standard controls: funds can be used only for listed purposes and will lapse if unspent; accounting adjustments are allowed without new cash outlays, supporting clean year‑end accounts (Purpose clause; Adjustments clauses).
• Backdates authority to April 1, 2020 so departments can pay bills and avoid service gaps while Parliament reviews Estimates (Effective date clause; Transfers of appropriations clause).
• Allows certain departments to offset spending with revenues under the Financial Administration Act, which can lower pressure on appropriations (multiple items citing FAA 29.1(2)(a), Schedule 1).

Opponents' View#

• Limited program‑level detail in an appropriation bill makes it hard for the public to see exactly which projects benefit within broad headings (Schedules 1–2). Assumes departments will allocate funds efficiently.
• Retroactive deeming of transfers to April 1, 2020 and broad revenue‑spending authorities may reduce real‑time parliamentary control over specific reallocations (Transfers of appropriations clause; multiple FAA 29.1(2)(a) authorities).
• One‑time infusions and lapsed‑fund rules can create uncertainty for recipients if departments cannot commit funds before deadlines, risking uneven delivery (Lapse provisions in Schedules 1–2).
• The increase of the CORCAN Revolving Fund limit (from $5.0 million to $20.0 million) expands working capital without an explicit appropriation amount attached to outcomes, raising oversight questions about revolving funds (Correctional Service Vote 10a, Schedule 1).
• The National Defence item includes very large commitment authority ($35.74 billion) noted alongside a smaller appropriation, which can be complex to track across years (Department of National Defence item, Schedule 1).