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Parliament approves $20.5B in midyear funding

Full Title: An Act for granting to His Majesty certain sums of money for the federal public administration for the fiscal year ending March 31, 2024

Summary#

This bill, Appropriation Act No. 3, 2023–24, authorizes the federal government to spend up to CAD $20,478,605,110 for programs and operations in fiscal year 2023–24 that were not covered in earlier approvals. It implements the items in Supplementary Estimates (A) for that year and applies retroactively to April 1, 2023 (Bill Schedule; Effective date). It also allows transfers of appropriations set out in those Estimates and permits year-end accounting adjustments until the Public Accounts are tabled (Transfers of appropriations; Adjustments in accounts of Canada).

  • Funds listed grants, contributions, and operating costs across many departments (Schedule).
  • Largest amounts go to Crown-Indigenous Relations and Northern Affairs and Indigenous Services (Schedule).
  • Significant funding goes to Health and the Public Health Agency of Canada (Schedule).
  • Housing-related payments to CMHC are authorized under the National Housing Act (Schedule).
  • Air travel security (CATSA), policing (RCMP), and key infrastructure (federal bridges in Quebec) receive funding (Schedule).
  • All items take effect as of April 1, 2023, for the year ending March 31, 2024 (Effective date).

What it means for you#

  • Households

    • Housing supports: CMHC may be reimbursed for loans forgiven, grants, and related losses and costs under the National Housing Act, which helps fund federal housing programs in 2023–24 (Schedule).
    • Health supports: Health Canada receives funding for grants and contributions, which can be paid as money or goods/services to health-related initiatives in 2023–24 (Schedule).
  • Indigenous Peoples and communities

    • Services and community investments: Indigenous Services Canada receives funding for operations, capital, and contributions to support programs and services in First Nations and Inuit communities in 2023–24 (Schedule).
    • Settlements and community-led initiatives: Crown-Indigenous Relations and Northern Affairs receives large contributions and operating funds that support agreements, community development, and northern affairs in 2023–24 (Schedule).
  • Travelers and commuters

    • Airport security: CATSA receives operating and capital funds that support screening and airport security functions in 2023–24 (Schedule).
    • Montreal-area infrastructure: The federal bridges corporation receives funds for operating several bridges and related structures and for deconstruction of the original Champlain Bridge in 2023–24 (Schedule).
  • Workers, students, and researchers

    • Research funding: NSERC, SSHRC, and CIHR receive additional grant funds that support research awards and projects in 2023–24 (Schedule).
  • Businesses and regional economies

    • Regional development: Atlantic Canada Opportunities Agency and PacifiCan receive funds for contributions to business and community projects in 2023–24 (Schedule).
    • Agriculture: Agriculture and Agri-Food Canada receives operating, capital, and contribution funds that support sector programs in 2023–24 (Schedule).
  • Newcomers and service users

    • Immigration processing and supports: Immigration, Refugees and Citizenship Canada receives operating funds and contributions that support program delivery in 2023–24 (Schedule).
  • General public

    • Public safety and health: The RCMP and the Public Health Agency of Canada receive funding that supports operations and contributions in 2023–24 (Schedule).
    • Federal services continuity: By applying from April 1, 2023, the Act helps avoid service gaps for items in Supplementary Estimates (A) (Effective date).

Expenses#

Estimated net cost: CAD $20,478,605,110 (FY2023–2024).

  • Authorizes payments “not exceeding” $20,478,605,110 from the Consolidated Revenue Fund for 2023–24, matching Supplementary Estimates (A) items (Schedule).
  • Effective as of April 1, 2023; transfers in the Estimates are deemed authorized as of that date (Transfers of appropriations; Effective date).
  • Year-end accounting adjustments are allowed until the Public Accounts for 2023–24 are tabled (Adjustments in accounts of Canada).
ItemAmountFrequencySource
Crown-Indigenous Relations and Northern Affairs (ops/capital/contributions)$8,123,987,464One-time (FY2023–24)Bill Schedule
Indigenous Services (ops/capital/contributions)$4,873,010,738One-time (FY2023–24)Bill Schedule
Health Canada (grants and contributions)$2,630,500,000One-time (FY2023–24)Bill Schedule
Canada Mortgage and Housing Corporation (housing-related reimbursements)$1,003,722,430One-time (FY2023–24)Bill Schedule
Public Health Agency of Canada (ops/contributions)$547,000,000One-time (FY2023–24)Bill Schedule
Immigration, Refugees and Citizenship Canada (ops/contributions)$590,880,038One-time (FY2023–24)Bill Schedule
Canadian Air Transport Security Authority (ops/capital)$468,300,000One-time (FY2023–24)Bill Schedule
Royal Canadian Mounted Police (ops/capital/contributions)$479,584,627One-time (FY2023–24)Bill Schedule
Agriculture and Agri-Food Canada (ops/capital/contributions)$527,615,357One-time (FY2023–24)Bill Schedule
Public Works and Government Services (ops)$391,170,931One-time (FY2023–24)Bill Schedule
The Jacques-Cartier and Champlain Bridges Inc.$87,423,475One-time (FY2023–24)Bill Schedule

Proponents' View#

  • Ensures timely funding for approved 2023–24 needs not covered in prior votes, preventing service disruptions by applying from April 1, 2023 (Effective date; Preamble).
  • Advances Indigenous services and agreements with major funding: $8.124 billion for Crown-Indigenous Relations and Northern Affairs and $4.873 billion for Indigenous Services (Schedule).
  • Supports health system capacity: $2.631 billion for Health Canada grants and contributions, plus $547 million for the Public Health Agency of Canada (Schedule).
  • Addresses housing pressures through CMHC reimbursements for loans forgiven, grants, and related costs under the National Housing Act, totaling $1.004 billion (Schedule).
  • Maintains public safety and mobility: $468.3 million for airport security (CATSA), $479.6 million for RCMP programs, and $87.4 million for federal bridges in Quebec (Schedule).
  • Provides standard tools to manage appropriations and accounting across the fiscal year, including deemed transfers and post-year adjustments, which help accurate Public Accounts (Transfers of appropriations; Adjustments in accounts of Canada).

Opponents' View#

  • Limited detail in the Act itself: program purposes are broad; most specifics live in Supplementary Estimates (A), reducing line-by-line scrutiny at the bill stage (Schedule).
  • Size and timing: a $20.48 billion mid-year authorization may strain oversight and delivery before March 31, 2024; all items are time-limited to FY2023–24 (Schedule; Effective date).
  • Flexible grant authorities: certain votes allow Treasury Board to increase or decrease listed grant amounts (e.g., PHAC and RCMP grants), which some may view as too much discretion (Schedule).
  • Retroactive effect: deeming provisions back to April 1, 2023, and allowing post-year accounting adjustments until Public Accounts are tabled can make in-year spending less visible to the public (Effective date; Adjustments in accounts of Canada).
  • Actual fiscal impact is uncertain at passage: appropriations authorize spending “up to” amounts; lapses or underspending are possible, complicating planning and accountability (Schedule).
Economics
Indigenous Affairs
Healthcare
Housing and Urban Development
National Security
Infrastructure
Immigration
Technology and Innovation
Criminal Justice

Votes

Vote 89156

Division 402 · Agreed To · June 21, 2023

For (64%)
Against (35%)
Paired (1%)
Vote 89156

Division 403 · Agreed To · June 21, 2023

For (64%)
Against (35%)
Paired (1%)
Vote 89156

Division 404 · Agreed To · June 21, 2023

For (64%)
Against (35%)
Paired (1%)