Quarterly Financial Report for the quarter ended June 30, 2025

Housing, Infrastructure and Communities Canada - Quarterly Financial Report for the quarter ended June 30, 2025 (PDF Version)

• Copyright

  © His Majesty the King in Right of Canada, as represented by the Minister of Housing, Infrastructure and Communities, 2025.

  Cat. No. T91-11E-PDF
  ISSN 2818-2766

Statement outlining results, risks and significant changes in operations, personnel and programs

Introduction

This quarterly report has been prepared by management as required by Section 65.1 of the Financial Administration Act and in the form and manner prescribed by the Treasury Board. This quarterly report should be read in conjunction with HICC's Main Estimates.

The key to building Canada for the 21st century is helping all communities thrive by making housing more available and affordable while making public infrastructure more sustainable, inclusive and climate-resilient. HICC makes significant investments in housing and public infrastructure, addresses homelessness needs, builds public-private-partnerships, and delivers programs that improve Canadians' quality of life while creating jobs and supporting economic growth.

Further information on HICC's mandate, responsibilities, and programs can be found on HICC's Website.

Basis of presentation

This quarterly report has been prepared by management using an expenditure basis of accounting. The accompanying Statement of Authorities includes HICC's spending authorities granted by Parliament and those used by HICC consistent with the Main Estimates for the 2025-26 fiscal year (FY). This quarterly report has been prepared using a special purpose financial reporting framework designed to meet financial information needs with respect to the use of spending authorities.

The authority of Parliament is required before monies can be spent by the government. Approvals are given in the form of annually approved limits through Appropriation Acts or through legislation in the form of statutory spending authority for specific purposes.

HICC uses the full accrual method of accounting to prepare and present its annual departmental financial statements that are part of the departmental performance reporting process. However, the spending authorities voted by Parliament remain on an expenditure basis.

HICC works in collaboration with other federal departments and agencies to deliver some of its transfer payment programs (collectively known as federal delivery partners).

It should be noted that this quarterly report has not been subject to an external audit or review.

Highlights of fiscal quarter and fiscal year-to-date results

Since HICC was created on June 20, 2024, no historical comparative data is available. Historical data has been collected since the second quarter of fiscal year 2024-25 which will enable comparative reporting starting in the second quarter of fiscal year 2025-26.

This section presents HICC's available authorities and expenditures recorded as of the first quarter of fiscal year 2025-26.

Authorities

Graph 1: Authorities Available as of June 30, 2025

HICC's available authorities are summarized in the table below:

Table 1: Total available authorities as of June 30, 2025

Authorities	Available Amount (000's)
Operating Expenditures	340,617
Capital Expenditures	53,162
Transfer Payments (Voted and Statutory)	8,662,484
Contributions to Employee Benefit Plans (EBP)	28,070

As shown in the Statement of Authorities, HICC's total authorities available for 2025-26 are $9.1 billion as of the end of the first quarter (Q1).

Expenditure analysis

HICC year-to-date expenditures (from April 1, 2025, to June 30, 2025) represent $0.8 billion. Total expenditures by type are summarized in the graphs and tables below.

Graph 2: Total Expenditures as of June 30, 2025

Table 2: Total expenditures as of June 30, 2025

Year-to-date expenditures	Amount Spent (000's)
Operating Expenditures	67,855
Capital Expenditures	1,576
Transfer Payments (Voted and Statutory)	718,912
Contributions to Employee Benefit Plans	7,017

Graph 3: Authorities used for Transfer Payments (Voted and Statutory) as of June 30, 2025

Significant year-to-date transfer payment expenditures as of June 30, 2025, were as follows:

Table 3: Year-to-date expenditures by transfer payment program as of June 30, 2025

Program Fund	Amount Spent (000's)
Reaching Home: Canada's Homelessness Strategy	269,137
Green and Inclusive Community Buildings - Contributions	22,532
New Building Canada Fund - Provincial-Territorial Infrastructure Component - National and Regional Projects	21,154
New Building Canada Fund - National Infrastructure Component	16,975
Disaster Mitigation and Adaptation Fund	16,340
Public Transit Infrastructure Stream ICIP	10,706

Canada Community-Building Fund is HICC's only Statutory program. Payments are made twice per year, the first payment is anticipated in the next quarter.

Departmental Budgetary Expenditures by Standard Object

The planned Departmental Budgetary Expenditures by Standard Object are set out in the table at the end of this report. As mentioned above, year-to-date expenditures as of Q1 2025-26 were $0.8 billion. The largest single factor was transfer payments as detailed in Table 3 above.

Year-to-date expenditures by standard object are summarized in the table below:

Table 4: Total expenditures by standard object as of June 30, 2025

Expenditures by Standard Object	Amount Spent (000's)
Personnel	59,742
Transportation and communications	298
Information	1,037
Professional and special services	4,686
Rentals	477
Repair and maintenance	1,829
Utilities, materials and supplies	32
Acquisition of land, buildings and works	1,376
Acquisition of machinery and equipment	24
Transfer payments	718,912
Public debt charges	6,920
Other subsidies and payments	27

Overall, HICC has spent 9% of its current Total Authorities as of June 30, 2025. This is mainly due to the late materialization of Transfer Payments. The majority of HICC G&C spending typically occurs in the final quarter of the fiscal year. The influx of claims submitted for reimbursement at year-end is driven by several factors, including the timing of construction seasons, which has a direct impact on the finalization of claims.

Other material expenditures for HICC include:

• Personnel expenditures representing employee wages;
• Public Debt Charges due to interest payments for the Samuel De Champlain Bridge Corridor (SDCBC) project; and
• Professional and Special Services such as Consultant Fees (Engineering, Management, Training & IT) as well as Protection Services and Legal Services.

Risks and uncertainties

As part of its risk management function, the Department is monitoring and identifying strategic and department-wide risks that may affect the delivery of its mandate and expected results. HICC integrates risk management principles into strategic business planning, results-based management, decision-making and organizational processes to support the achievement of departmental priorities. Risk management at HICC is carried out in accordance with the Treasury Board Secretariat's (TBS) Framework for the Management of Risk and TBS's Guide to Integrated Risk Management.

HICC applies an enterprise risk management (ERM) approach to identify, assess, and manage organizational risks that could affect its operations, projects, and programs. A core component of this approach is the Corporate Risk Profile (CRP), which provides a department-wide view of the most significant risks to achieving strategic objectives. The CRP supports risk-informed decision-making by enabling leadership engagement, informing planning and resource allocation, and linking risk considerations to business planning and performance reporting. It also establishes a foundation for monitoring and strengthening risk responses over time. Effective ERM requires ongoing communication and active engagement across the department, and HICC is committed to continuously enhancing its ERM practices by further integrating risk information into departmental planning and decision-making processes.

HICC updates its CRP yearly and undertakes a full revamp every three years. Off-cycle updates are made when there are significant changes in threats or opportunities, such as shifts in political leadership, mandate, priorities, or external conditions (e.g., geopolitical or economic changes). A revamp year presents an opportunity to overhaul parts of the CRP process to address fundamental changes in the department's strategy, structure, or risk landscape.

The Department is currently developing its 2025-28 CRP, which is expected to be completed in Q2 2025-26.

Significant changes in relation to operations, personnel and programs

Since the last QFR, the following significant changes have taken place within the department:

• The Honourable Gregor Robertson was appointed Minister of Housing and Infrastructure and Minister responsible for Pacific Economic Development Canada, effective May 13, 2025, replacing former Minister Nathaniel Erskine-Smith.

HICC has continued to work on the expanded portfolio as a result of Canada's Housing Plan announced in Budget 2024 and the Housing Policy recalibration, in an effort to deliver timely results for Canadians.

In the year ahead, the Department will lead efforts to deliver on the Government's commitment to double the rate of home building while catalyzing an entirely new housing industry using Canadian innovation, skilled workers, and lumber. A healthy supply of homes, underpinned by resilient public infrastructure, is essential to Canada's long-term prosperity.

Approval by senior officials

Annex A: Quarterly Financial Report For the quarter ended June 30, 2025

Departmental budgetary expenditures by Standard Objects (unaudited)
(in thousands of dollars)

Fiscal year 2025-26

Expenditures	Planned expenditures for the year ending March 31, 2026	Expended during the quarter ended June 30, 2025	Year-to-date used at quarter-end
Personnel	211,636	59,742	59,742
Transportation and communications	5,462	298	298
Information	5,498	1,037	1,037
Professional and special services	75,354	4,686	4,686
Rentals	3,664	477	477
Repair and maintenance	25,617	1,829	1,829
Utilities, materials and supplies	572	32	32
Acquisition of land, buildings and works	45,211	1,376	1,376
Acquisition of machinery and equipment	7,147	24	24
Transfer payments	8,662,484	718,912	718,912
Public debt charges	41,688	6,920	6,920
Other subsidies and payments	-	27	27
Total net budgetary expenditures	9,084,333	795,360	795,360

Statement of Authorities (unaudited)
(in thousands of dollars)

Fiscal year 2025-26

	Total available for use for the year ending March 31, 2026	Used during the quarter ended June 30, 2025	Year-to-date used at quarter-end
Vote 1 - Operating expenditures	340,515	67,838	67,838
Vote 5 - Capital expenditures	53,162	1,576	1,576
Vote 10 - Contributions	6,195,653	718,912	718,912
Budgetary Statutory Authorities
(S) Contributions to employee benefit plans	28,070	7,017	7,017
(S) Canada Community-Building Fund	2,466,831	-	-
(S) Minister salary and car allowance	102	17	17
Total Budgetary Authorities	9,084,333	795,360	795,360
Non-Budgetary Authorities	-	-	-
Total Authorities	9,084,333	795,360	795,360