2012-2013
Departmental Performance Report - Section 1

Minister's Message

As Canada's Minister of Infrastructure, Communities and Intergovernmental Affairs, I am pleased to present Infrastructure Canada's Departmental Performance Report for 2012-2013. The report outlines the achievements of the Department over the past year, as it has delivered on the Government of Canada's commitments to support public infrastructure.

Canadians continue to benefit from investments in public infrastructure that create jobs and support a strong economy. There can be no doubt that these benefits are widespread and touch every community – since 2009, under the Economic Action Plan and the Building Canada Plan, the Department has invested in approximately 6,400 infrastructure projects across the country.

Over the past year, Infrastructure Canada has continued to work with its partners to ensure the sound stewardship of thousands of ongoing projects under existing programs. In total, Infrastructure Canada provided over $3.7 billion in critical funding to projects across the country. Over the past four years, Infrastructure Canada's funding programs further leveraged significant contributions from provinces, territories, municipalities and other stakeholders, resulting in cumulative commitments of more than $30 billion.

At the same time, we consulted with provincial and territorial partners and other stakeholders to inform the broad directions of a new long-term plan for public infrastructure. This included ministerial roundtable meetings across the country, bilateral meetings with provinces and territories, and written input from a variety of infrastructure stakeholders.

The Government of Canada listened to stakeholders. The New Building Canada Plan, combined with other federal infrastructure investments will result in $70 billion in federal infrastructure funding over 10 years, the largest federal investment in job-creating infrastructure in Canadian history. The New Building Canada Plan will provide provinces, territories and municipalities with long-term predictable funding for infrastructure priorities that support productivity, economic growth and stronger communities.

Looking forward, the Government of Canada will work with partners to deliver on this new Plan. Jobs and economic growth remain the Government's top priorities, and the investments we make in public infrastructure today will translate into the long-term prosperity of tomorrow.

The Honourable Denis Lebel, P.C., M.P.
Minister of Infrastructure, Communities and Intergovernmental Affairs and Minister of the Economic Development Agency of Canada for the Regions of Quebec

Section I: Organizational Overview

1.1 Raison d'être

1.2 Responsibilities

I. Overview

Infrastructure Canada is the main department responsible for federal efforts to enhance Canada's public infrastructure. This is accomplished through three main activities: investments in provincial, territorial and municipal assets; engagement in key partnerships with the provinces, territories, municipalities and the private sector; and the development and implementation of sound policies. Established in 2002, the Department ensures that Canadians benefit from world-class public infrastructure from coast to coast to coast.

The Government of Canada's investments in infrastructure over the past decade have leveraged funding from provinces, territories and municipalities, resulting in a significant overall increase in spending on municipally-owned, core public infrastructure as well as on provincial and territorial assets. Significant progress has been made. The average age of core public infrastructure is declining after years of trending upwards. From its peak of 16.9 years in 2000 to 2003, the average age of core public infrastructure declined to 14.7 years in 2011 and 14.3 years forecasted for 2012.

As shown in Figure 1, federal support for public infrastructure has increased significantly over the past decade. Infrastructure Canada is the key contributor of this federal support.

Figure 1: Federal Infrastructure Support for Provincial, Territorial and Municipal Infrastructure

The Importance of Infrastructure Investment

Over the past 10 years, provincial, territorial and municipal governments, with funding support from the Government of Canada, have taken great strides in responding to investment needs and building for a prosperous Canada. The significant amount of recent investments, however, does not mean the work of Canada's three orders of government is complete. Across the country, investment is needed from all orders of government to maintain quality public infrastructure so Canada can remain competitive in the global marketplace.

Recent investments have contributed to the ongoing renewal and improvement of what Statistics Canada describes as Canada's core public infrastructure (CPI)¹. As seen in the chart below, much of Canada's core public infrastructure is nearing or is past the halfway mark of its expected service life. According to the data, the average age as a percentage of useful life of Canada's core public infrastructure peaked in 2000 to 2003 at 65 percent. Between 2003 and 2012, this fell to 53 percent, including a drop of more than seven percent between 2008 and 2012. The data suggests that over the last 12 years great advances have been made in bringing down the average age of infrastructure as a percentage of useful life.

Figure 2: Age as a Percentage of Useful Life of Core Public Infrastructure (CPI)

In 2007, the Government of Canada launched the $33-billion Building Canada plan, the first ever federal long-term plan for infrastructure. Through the 2007 Building Canada plan, the Government of Canada is supporting thousands of projects that have given Canadians and communities access to better public infrastructure, and have strengthened the national economy.

In Economic Action Plan 2013, the Government indicated that it would develop a New Building Canada Plan to build roads, bridges, subways, commuter rail and other public infrastructure in cooperation with provinces, territories and municipalities. The New Building Canada Plan provides approximately $53 billion² in funding, including $47 billion in new funding under three key funds:

• Community Improvement Fund: $32.2 billion over 10 years;
• New Building Canada Fund: $14 billion over 10 years; and
• Renewed P3 Canada Fund: $1.25 billion over five years.

Starting in 2014-2015 the Government will provide a new 10-year funding commitment to provincial, territorial and municipal infrastructure. For Infrastructure Canada, under the Community Improvement Fund, this includes an indexed $2-billion annual Gas Tax Fund allocation ($21.8 billion over 10 years) providing a permanent source of long-term sustainable funding that municipalities can count on for their infrastructure needs. In Budget 2013, the Government indicated that it would develop a New Building Canada Fund of $14 billion to support major economic projects of national, regional and local significance. The New Building Canada Fund will be comprised of two components: a $4 billion National Infrastructure Component that will support investments in projects of national significance and a $10-billion Provincial-Territorial Infrastructure Component that will support projects of national, regional and local significance in communities across the country.

Programs

Infrastructure Canada's current funding programs support local and regional infrastructure needs, while advancing national priorities. This, in turn, makes Canada's economy stronger, keeps people and goods on the move, and helps make our water and air cleaner. The Department delivers funding through three general mechanisms:³

Building Canada Plan: 2007-2014 ($33 billion) original
Base Funding	Municipal Base ($17.6 billion) *Gas Tax Fund $11.8 billion *GST Rebate $5.8 billion Provincial-Territorial Base Fund ($2.3 billion)
Target Funding	Building Canada Fund ($8.8 billion) Gateways and Border Crossings Fund ($2.1 billion) Transport Canada Asia-Pacific Gateway ($1 billion) Transport Canada Public-Private Partneships (P3) Fund ($1.25 billion) PPP Canada

1.3 Strategic Outcomes and Program Alignment Architecture (PAA)

In 2012-2013, Infrastructure Canada's Program Alignment Architecture (PAA) structure included two active strategic outcomes comprised of nine active programs and Internal Services, as detailed in Figure 3 and discussed in detail in Section II of this report.⁴

Strategic Outcome 1 provides federal transfers to provincial, territorial and municipal governments for their infrastructure priorities to help maintain a high level of quality core public infrastructure across the country. Strategic Outcome 2 provides cost-shared infrastructure investments to address federal, provincial and territorial priorities in large and small communities as well as large strategic investments of national and regional benefit. With the exception of the Gas Tax Fund, all programs require cost-sharing with partners, primarily other levels of government. All programs result in the construction and enhancement of public infrastructure, while contributing to broad federal government objectives of a competitive economy, a cleaner environment and liveable communities. These program design features are reflected in the Department's performance measurement approach.

Figure 3: Program Alignment Architecture (PAA)

1.4 Organizational Priorities

Four key organizational priorities guided the Department's work in 2012-2013:

• To work with provinces, territories, the Federation of Canadian Municipalities and other stakeholders to develop a future long-term plan for public infrastructure that extends beyond the expiry of the Building Canada plan;
  
• To continue to implement, with sound management and accountability, core infrastructure programs and projects;
  
• To continue to make improvements to information management systems, ensuring accurate, flexible and effective data and information, to report on contribution programs; and
  
• To maximize operational efficiencies in the continued effective delivery of the departmental mandate.

Summary of Progress Against Priorities

Priority	Type5	Strategic Outcome(s) and/or Program
Work with provinces, territories, the Federation of Canadian Municipalities and other stakeholders to develop a future long-term plan for public infrastructure that extends beyond the expiry of the Building Canada plan.	New	Strategic Outcome 1: Provinces, territories and municipalities have federal financial support for their infrastructure priorities. Strategic Outcome 2: Funding for quality, cost-effective public infrastructure that meets the needs of Canadians in a competitive economy, a cleaner environment and liveable communities is provided.

Description for Priority 1

• Over the summer of 2012, Infrastructure Canada led a long-term plan engagement process, meeting with provinces, territories, municipalities, municipal associations and other stakeholders to reflect on past accomplishments, to build knowledge, and to discuss the broad principles of a future long-term plan. This work included a series of 14 ministerial roundtable meetings held across the country, bilateral meetings with provinces and territories at the officials' level, and an invitation for interested parties to provide written submissions on the plan. As part of this process, nearly 700 partners and stakeholders provided input to help inform the broad directions of a new long-term infrastructure plan.
• Following the conclusion of the engagement process, Economic Action Plan 2013 announced the New Building Canada Plan, a 10-year funding commitment for infrastructure. beginning in 2014-2015. It includes over $53 billion in new and existing funding for provinces, territories and municipalities that will be administered through three funds: the $32.2 billion Community Improvement Fund; the $14 billion Building Canada Fund and the $1.25 billion P3 Fund.
• The New Building Canada Plan will provide provinces, territories and municipalities with long-term predictable funding to support their infrastructure priorities, including those that support productivity, economic growth and stronger communities. Infrastructure Canada is currently developing the program parameters for new funding to be delivered under the Plan.

Priority	Type	Strategic Outcome(s) and/or Program Activity(ies)
Continue to implement, with sound management and accountability, core infrastructure programs and projects.	Ongoing	Strategic Outcome 1: Provinces, territories and municipalities have federal financial support for their infrastructure priorities. Strategic Outcome 2: Funding for quality, cost-effective public infrastructure that meets the needs of Canadians in a competitive economy, a cleaner environment and liveable communities is provided.

Description for Priority 2

• Throughout 2012-2013, the Department continued to effectively and efficiently manage and implement its suite of programs. While many of the programs had limited funding remaining to be committed in 2012-2013, Infrastructure Canada continued to focus on program management practices such as monitoring, project implementation and ensuring claim payments. Meanwhile closure practices for sunsetting programs were developed and implemented in order to support departmental readiness for any future audit or program evaluation.
• Infrastructure Canada continues to build strong relationships with partners, a practice that has resulted in more reliable data, improved financial forecasting practices and better overall project implementation for the Department.
• To streamline and perform its duties more efficiently, the Department repatriated the project management responsibilities of the remaining projects under the Canada Strategic Infrastructure Fund (CSIF) from most of its federal delivery partners.

Priority	Type	Strategic Outcome(s) and/or Program Activity(ies)
Continue to make improvements to information management systems, ensuring accurate, flexible and effective data and information, to report on contribution programs.	Previously committed to	Strategic Outcome 1: Provinces, territories and municipalities have federal financial support for their infrastructure priorities. Strategic Outcome 2: Funding for quality, cost-effective public infrastructure that meets the needs of Canadians in a competitive economy, a cleaner environment and liveable communities is provided.

Description for Priority 3

• In 2012-2013, the Department initiated key projects to improve the Shared Information Management System for Infrastructure (SIMSI) which is used to support the management and delivery of Infrastructure Canada's programs. The first of these projects involved the re-engineering of the Department's data warehouse to improve data quality, enhance cross-program reporting, and contribute to technology sustainability all while reducing ongoing maintenance costs. In addition to this, the Department began work on a project to extend the existing Financial Planning and Analysis Application to accommodate a project management module that will help Infrastructure Canada avoid data duplication, improve usability of the system, and support reporting activities. These projects are all expected to be completed by the Information Management/Information Technology (IM/IT) Division in fiscal year 2013-2014, and will involve significant user/owner engagement and oversight by a number of departmental committees.

Priority	Type	Strategic Outcome(s) and/or Program Activity(ies)
Maximize operational efficiencies in continued effective delivery of the departmental mandate.	New	Strategic Outcome 1: Provinces, territories and municipalities have federal financial support for their infrastructure priorities. Strategic Outcome 2: Funding for quality, cost-effective public infrastructure that meets the needs of Canadians in a competitive economy, a cleaner environment and liveable communities is provided.

Description for Priority 4

• Since Infrastructure Canada does not have a regular and ongoing level of A-Base funding for departmental operational costs (i.e. salaries, operations and maintenance) it was not subject to the 2011 Strategic and Operating Review exercise. Within the context of reduced spending, however, the Department took measures to cut costs, reduce spending and maximize operational efficiencies, all of which are consistent with the 2011 Strategic and Operating Review objectives, to ensure value for Canadians.
• Infrastructure Canada was asked to deliver its programs with $5M less in operating funding in 2012-2013. As a result cost savings were realized from two main activities: the deferring or cancellation of departmental information technology projects, and staff reductions through the Workforce Adjustment (WFA) process. In the former case, plans to develop several elements of a departmental information management system were cancelled pending the availability of the new government-wide document management solution called GCDocs, and some less critical improvements to the Shared Information Management System for Infrastructure (SIMSI) were deferred. Another cost saving decision was made to delay the evergreening of computers from three to five years, which not only eliminated expenditures in the short term but also reduced annual expenditures by stretching replacements over a longer period. The Department continues to work closely with Shared Services Canada (SSC) for the migration of hosted software applications from a private sector company to government servers.
• In the case of staff reductions, after a careful review of non-salary expenditures, the Department reviewed Full-Time Equivalent (FTE) levels to obtain operational efficiencies. In early 2012, each function and the associated number of FTE requirements were analysed based on a previous business case for the Department's operating budget. Approximately six percent of staff (20 FTEs) were identified. Nearly all employees that were declared surplus have found employment elsewhere through the alternation process or deployments, or have formally selected their option under the Workforce Adjustment (WFA) agreements/directives.

1.5 Risk Analysis

Risk	Risk Response Strategy	Link to Program Alignment Architecture	Link to Organizational Priorities
Infrastructure Canada may be unable to quickly and effectively address information management and information technology challenges for new programs over the planning period.	In the 2012-13 RPP, the risk was described as Infrastructure Canada's information management systems and technology may not be sufficiently flexible in responding to the management of its infrastructure programs delivery and reporting requirements on a timely basis. The focus of risk responses has shifted from program delivery and reporting requirements to ensuring readiness for new infrastructure programs and the timely delivery of IM/IT solutions. The development of a new governance framework for the Shared Information Management System for Infrastructure (SIMSI) and the finalization of a long-term SIMSI Strategic Plan have produced positive results in meeting organizational and business needs. Both the Major Infrastructure Program Renewal project and the Enterprise Data Warehouse Re-Engineering projects were approved in May 2012 and are well underway. Further, the Department is fostering a strong relationship with Shared Services Canada to ensure it is ready for new infrastructure programs and can continue the delivery of timely IM/IT solutions.	Strategic Outcome 1: Provinces, territories and municipalities have federal financial support for their infrastructure priorities. Strategic Outcome 2: Funding for quality, cost-effective public infrastructure that meets the needs of Canadians in a competitive economy, a cleaner environment and liveable communities is provided.	Continue to make improvements to information management systems, ensuring accurate, flexible and effective data and information, to report on contribution programs. Maximize operational efficiencies in continued effective delivery of departmental mandate.
Infrastructure Canada may not have timely and quality information and data from which to generate reports on results and performance.	In the 2012-13 RPP, the risk was described as Infrastructure Canada may not have the information to generate timely reports on results and performance. The focus has shifted from getting information to getting timely and quality information. The Department has established data management processes and governance structures for data quality and integrity including an on-line lexicon that promotes a common understanding of key terms used in data entry. The Department's Program Alignment Architecture and Performance Measurement Framework are currently being updated to strengthen departmental planning and reporting to be more compliant with the Policy on Management of Resources and Results Structures (MRRS). Performance Measurement Strategies have been updated for four infrastructure investment programs while updates for the remaining programs are currently under development. These ensure that each program is assessed and monitored to support decision making throughout the program implementation process and supports the Department's strong commitment to achieving infrastructure investment results.	Strategic Outcome 1: Provinces, territories and municipalities have federal financial support for their infrastructure priorities. Strategic Outcome 2: Funding for quality, cost-effective public infrastructure that meets the needs of Canadians in a competitive economy, a cleaner environment and liveable communities is provided.	Continue to implement, with sound management and accountability, core infrastructure programs and projects. Continue to make improvements to information management systems, ensuring accurate, flexible and effective data and information, to report on contribution programs.
Infrastructure Canada may not be able to deliver on project funding commitments if transfer payment re-profiles are not approved.	In the 2012-13 RPP, the risk was described as Infrastructure Canada's actual transfer payment expenses may be less than forecasted by partners thus requiring reprofiling of funds (i.e. transferring funding from one fiscal year to another). Since the risk responses in place have effectively mitigated the risk arising from addressing gap between actual transfer payment expenses and what partners forecast, the risk responses now focus on mitigating impact of not having reprofiles approved. INFC rigorously examines financial reports every month, focusing more on high-risk programs and projects. The Department has implemented the Financial Planning and Analysis Application to enhance this ongoing monitoring and has introduced a new forecasting methodology that has helped to reduce the need for reprofiling. INFC works continually with its partners to ensure that forecasts are as accurate as possible and that funding is profiled to meet their needs. However, due to the complex nature of infrastructure projects where legitimate delays may occur because of factors such as environmental assessments, weather, and shortages in materials and labour, there is still a potential for funding lapses to occur. This is because federal funding does not actually flow to contribution recipients until they have submitted claims for actual costs incurred — a key risk management approach that ensures INFC only makes reimbursements for work that has already been completed.	Strategic Outcome 1: Provinces, territories and municipalities have federal financial support for their infrastructure priorities. Strategic Outcome 2: Funding for quality, cost-effective public infrastructure that meets the needs of Canadians in a competitive economy, a cleaner environment and liveable communities is provided.	Continue to implement, with sound management and accountability, core infrastructure programs and projects.

As new environmental risk factors emerge, the Department applies a comprehensive approach to actively identify, assess and manage risks at the strategic, operational, program and project levels. This approach includes conducting regular environmental scans with direct participation of the Department's executives.

In the past, the Department was challenged to support rapidly evolving business needs by quickly adapting its technology solutions. More recently, the creation of Shared Services Canada and the upcoming expiry of a long-standing contract with a full-service information technology provider will change how Infrastructure Canada develops and delivers applications to manage Grants and Contributions (Gs&Cs). As we are in a transition period between the winding down of existing funding programs and the implementation of new programs, there is an opportunity for Infrastructure Canada to introduce measures that will ensure evolving business requirements are in place and ready to deliver new infrastructure programs. Further, the Government is taking a more restrictive approach to reviewing requests for reprofiling transfer payments. As such, reprofiling requests may not be approved as readily as in the past. This can result in the Department's failure to deliver on project funding commitments and negatively impact its reputation and ability to achieve its program objectives. As part of its efforts to manage this risk, the Department has introduced a new forecasting methodology that has helped to reduce the need for reprofiling by ensuring payment at year end is based only on claims on hand that are not processed whereas before it was based on recipients estimates on costs up to March 31 and not on concrete results that has led to over-estimates. The Department is also working diligently with its partners to enhance forecast accuracy. Finally, Infrastructure Canada has implemented risk responses that have effectively reduced the overall risk to the reporting of results and performance information and put in place measures that increased the timeliness and quality of the data required in reporting.

As such, the focus of risk responses is to ensure the following: departmental readiness for new infrastructure programs, continued delivery of timely IM/IT solutions, effectiveness of existing practices, and as required, development of new tools or practices. Overall, the risk responses have reduced the likelihood of the risks occurring and have mitigated the potential impact should the risks occur.

In 2013-2014, the Department will review and update its risks in the context of announcements made in Budget 2013 and any other significant changes that arise from environmental scans and progress made by the implementation of risk responses.

1.6 Summary of Performance

During 2012-2013, the Department focused on prudent stewardship, oversight of claims, close out of projects and project reporting as construction advanced on thousands of approved projects. The Department dedicated significant resources to ensure that all financial claims received from proponents were processed accurately and efficiently and reimbursed quickly. For those programs with available funding, Infrastructure Canada continued to work with partners to commit funds to priority projects and initiatives.

Overall, 2012-2013 was another successful year for the Department with over $3.7 billion in infrastructure funding flowed to provinces, territories and municipalities for their infrastructure priorities. In 2012-2013, Infrastructure Canada continued to make available $2 billion annually through the Gas Tax Fund, providing municipalities with predictable funding for projects that will encourage long-term planning practices.

Under the Provincial-Territorial Infrastructure Base Fund, the Department continued to approve Capital Plans, committing an additional $251 million in federal funding and leveraging $318 million from other partners for key investments in nationally and regionally significant projects that benefit all Canadians.

In 2012-2013, the Department continued to make investments towards the construction of public infrastructure, supporting a competitive economy, a cleaner environment and liveable communities. Over the past four years, Infrastructure Canada's funding programs further leveraged significant contributions from provinces, territories, municipalities and other stakeholders, resulting in cumulative commitments of more than $30 billion. These investments, supporting large and small projects from coast to coast to coast, strengthened public infrastructure while enabling and sustaining employment in communities across Canada.

During 2012-2013, Infrastructure Canada continued to work closely with partners across Canada to support thousands of provincial, territorial and municipal infrastructure projects under its funding programs, while continuing to lead the Government of Canada's efforts to enhance Canada's public infrastructure. Building on the federal government's commitment to advance work on a new long-term plan for public infrastructure, Infrastructure Canada led federal efforts to ensure Canadians benefit from world-class public infrastructure. Our investments support local and regional infrastructure needs while advancing national priorities. Infrastructure Canada consulted partners and other stakeholders, focusing on best practices, lessons learned, and how to ensure future infrastructure spending supports economic growth.

1.6.1 Financial and Human Resources

Infrastructure Canada's financial and human resources information over the reporting period are summarized in the two tables that follow.

Table 1: 2012-2013 Financial Resources – Total Departmental (in $ thousands)

Total Budgetary Expenditures (Main Estimates) 2012-2013	Planned Spending 2012-2013	Total Authorities (available for use) 2012-2013	Actual Spending (authorities used) 2012-2013	Difference (Planned vs. Actual Spending)
5,105,563	5,105,563	5,314,267	3,752,656	1,352,9076

Human Resources (Full-Time Equivalents – FTEs)

Planned 2012-2013	Actual 2012-2013	Difference 2012-2013
329	320	9

Infrastructure Canada's workforce is flexible and adaptable. Employees are readily reallocated as needed during the year to reflect specific requirements of funding programs, operational requirements and other government priorities. Operating funding is also allocated to the administration of individual programs on a similar basis.

Infrastructure Canada does not have a regular and ongoing level of A-Base funding for departmental operating costs (e.g. salaries, operations and maintenance). Up to the end of 2012-2013, the Department's entire operating budget has been sourced from its programs' funding envelopes, with annual funding for operational requirements fluctuating in response to the actual oversight and management necessary for active programs.

1.6.2 Programs by Strategic Outcome and Actual Spending

The performance summary table outlines the achieved results of the Strategic Outcomes, the actual spending under each departmental Program, as well as the alignment of these Programs to the Government of Canada outcomes. Infrastructure Canada works in partnership with provinces, territories and municipalities in order to meet these annual performance targets. As such, annual results are affected by both the performance of Infrastructure Canada, as well as its provincial, territorial and municipal partners. The Internal Services activities, which support the Department in meeting Government of Canada outcomes, are also presented in this table.

Performance Summary Tables for Strategic Outcomes and Programs⁷

Strategic Outcome 1: Provinces, territories and municipalities have federal financial support for their infrastructure priorities

(in $ thousands)

Programs	Total Budgetary Expenditures (Main Estimates 2012-2013)	Planned Spending			Total Authorities (available for use) 2012-2013	Actual Spending (authorities used)			Alignment to Government of Canada Outcomes
		2012-2013	2013-2014	2014-2015		2012-2013	2011-2012	2010-2011
Provincial-Territorial Infrastructure Base Fund	233,392	233,392	265,490	0	348,007	237,611	188,695	437,548	Strong Economic Growth See Descriptors for Government Outcome Areas
Gas Tax Fund	1,976,118	1,976,118	1,976,236	2,000,070	2,098,118	1,966,919	2,206,246	1,752,697	Strong Economic Growth See Descriptors for Government Outcome Areas
Strategic Outcome 1 Sub-Total	2,209,510	2,209,510	2,241,726	2,000,070	2,446,125	2,204,530	2,394,942	2,190,245

Strategic Outcome 2: Funding for quality, cost-effective public infrastructure that meets the needs of Canadians in a competitive economy, a cleaner environment and liveable communities is provided

(in $ thousands)

Programs	Total Budgetary Expenditures (Main Estimates 2012-2013)	Planned Spending			Total Authorities (available for use) 2012-2013	Actual Spending (authorities used)			Alignment to Government of Canada Outcomes
		2012-2013	2013-2014	2014-2015		2012-2013	2011-2012	2010-2011
Building Canada Fund—Communities Component	251,814	251,814	188,734	115,418	232,608	187,046	213,884	225,825	Strong Economic Growth See Descriptors for Government Outcome Areas
Building Canada Fund—Major Infrastructure Component	1,965,120	1,965,120	942,955	612,324	1,984,462	927,180	759,828	407,499	Strong Economic Growth See Descriptors for Government Outcome Areas
Green Infrastructure Fund	82,105	82,105	125,030	89,646	157,922	117,858	30,274	35,430	A Clean and Healthy Environment See Descriptors for Government Outcome Areas
Canada Strategic Infrastructure Fund	410,882	410,882	289,102	266,089	357,154	241,178	188,382	336,451	Strong Economic Growth See Descriptors for Government Outcome Areas
Municipal Rural Infrastructure Fund	96,550	96,550	78,763	0	58,471	36,719	88,043	146,646	Strong Economic Growth See Descriptors for Government Outcome Areas
Border Infrastructure Fund	41,838	41,838	22,965	51,032	28,782	8,099	35,042	67,881	Strong Economic Growth See Descriptors for Government Outcome Areas
Economic Analysis and Research	3,797	3,797	0	0	3,877	80	3,143	1,750	Innovative and Knowledge-Based Economy See Descriptors for Government Outcome Areas
Strategic Outcome 2 Sub-Total	2,852,106	2,852,106	1,647,549	1,134,509	2,823,276	1,518,160	1,318,595	1,221,482

Strategic Outcome 3: Construction-ready infrastructure projects are provided with federal funding support⁸

(in $ thousands)

Programs	Total Budgetary Expenditures (Main Estimates 2012-2013)	Planned Spending			Total Authorities (available for use) 2012-2013	Actual Spending (authorities used)			Alignment to Government of Canada Outcomes
		2012-2013	2013-2014	2014-2015		2012-2013	2011-2012	2010-2011
Infrastructure Stimulus Fund	0	0	0	0	0	0	634,927	2,482,489	Strong Economic Growth See Descriptors for Government Outcome Areas
Building Canada Fund—Communities Component Top-Up	0	0	0	0	0	0	136,122	303,739	Strong Economic Growth See Descriptors for Government Outcome Areas
Support for the G-8 Summit (2010)	0	0	0	0	0	0	0	4,571	Strong Economic Growth See Descriptors for Government Outcome Areas
Strategic Outcome 3 Sub-Total	0	0	0	0	0	0	771,049	2,790,799

Performance Summary Table for Internal Services

(in $ thousands)

Programs	Total Budgetary Expenditures (Main Estimates 2012-2013)	Planned Spending			Total Authorities (available for use) 2012-2013	Actual Spending (authorities used)
		2012-2013	2013-2014	2014-2015		2012-2013	2011-2012	2010-2011
Internal Services9	43,947	43,947	35,431	1,861	44,866	29,96610	55,525	49,265
Sub-Total	43,947	43,947	35,431	1,861	44,866	29,966	55,525	49,265

Total Performance Summary Table

(in $ thousands)

Strategic Outcomes and Internal Services	Total Budgetary Expenditures (Main Estimates 2012-2013)	Planned Spending			Total Authorities (available for use) 2012-2013	Actual Spending (authorities used)
		2012-2013	2013-2014	2014-2015		2012-2013	2011-2012	2010-2011
Total	5,105,563	5,105,563	3,924,706	3,136,440	5,314,267	3,752,656	4,540,110	6,251,791

1.7 Expenditure Profile

1.7.1 Expenditure Profile

In 2012-2013, Infrastructure Canada spent over $3.7 billion on infrastructure investments to meet the expected results of its Programs and to contribute to its Strategic Outcomes.

Figure 4 represents the Department's planned and actual spending profile from 2010-2011 to 2012-2013. Spending related to the Economic Action Plan (EAP) started in 2009-2010 and continued until 2011-2012 (with exception of the Green Infrastructure Fund, which currently extends to 2018-2019).¹¹

Figure 4: Departmental Spending Trend

Investment in strong, modern, world-class public infrastructure is a key element in achieving the Government of Canada's priorities of a stronger economy, a cleaner environment and more liveable communities. In 2012-2013, the Department's $3.7 billion in spending supported the construction of public infrastructure, strengthening the economies of many sectors and regions across the country.

1.7.2 Variations in Program Spending Trends

Figure 4 represents Infrastructure Canada's spending trend from 2010-2011 to 2012-2013. Beginning in 2009-2010, spending began to rise due to the Economic Action Plan (EAP) programs of 2009, peaking in 2010-2011 and then decreasing in 2011-2012 with the closing out of stimulus initiatives.

While actual spending was lower than planned, 2012-2013 was another successful year for the Department with over $3.7 billion in infrastructure funding flowed to partners, a level higher than pre-EAP funding, leveraging additional contributions from funding partners. Fewer large-scale projects were completed than forecasted by project proponents during the reporting period as some large-scale projects funded under the Building Canada Fund – Major Infrastructure Component and Canada Strategic Infrastructure Fund experienced delays as a result of inclement weather, technical and other construction-related complexities.

1.8 Estimates by Vote

For information on Infrastructure Canada's Votes and/or statutory expenditures, please see the 2012-2013 Public Accounts of Canada (Volume II) publication. An electronic version of the Public Accounts is available on the Public Works and Government Services Canada/Receiver General website.

1.9 Contribution to the Federal Sustainable Development Strategy

The Federal Sustainable Development Strategy (FSDS) outlines the Government of Canada's commitment to improve the transparency of environmental decision making. The strategy outlines key strategic environmental goals and targets, and ensures that they are considered in decision making.

Although Infrastructure Canada is not one of the 27 departments required to table a Departmental Sustainable Development Strategy or to report on its contribution to the FSDS, it continues to play an important role in helping create a more sustainable future.

The Department's broad range of infrastructure programs supports thousands of projects across Canada that contribute to a cleaner environment in areas such as drinking water, wastewater, clean energy, public transit and brownfield redevelopment. Many of these infrastructure investments directly support two of the FSDS Themes:

• Maintaining Water Quality and Availability
• Addressing Climate Change and Air Quality

Beyond providing funding through federal infrastructure funding programs, Infrastructure Canada's measures support the FSDS' Theme 4, Shrinking the Environmental Footprint – Beginning with Government. The Department continues to implement its recent Greening Action Plan, which includes measures in green procurement, waste and energy reduction, and awareness and promotion. More details on our green procurement initiatives can be found in the Supplementary Information Tables on Greening Government Operations, on Infrastructure Canada's website.

Strategic Environmental Assessment (SEA)

The Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals¹² states that a SEA is required when the implementation of a proposal submitted to an individual minister or Cabinet for approval may result in important environmental effects, either positive or negative. To ensure that the Cabinet Directive is being met, the Department undertakes a preliminary scan to identify the potential for important environmental effects when preparing a Memorandum to Cabinet and for other policy, plan and program initiatives, as appropriate. Should the potential for significant environmental impacts be identified and/or there is a high level of uncertainty or risk associated with the proposal, a SEA is carried out. In 2012-2013 no important environmental effects, either positive or negative, were identified through any of the preliminary scans completed. As a result, no SEAs were required.