2. Introduction
• Outline:
– Grant versus Contribution Agreement
– Accountability
– The Contribution Agreement Life Cycle
– Resources
– Question and Answer
• Goal:
– By the end of the session you will understand the
lifecycle of a contribution agreement within the
Integration branch.
3. Grants vs. Contributions
• Grant
– Unconditional transfer of funds
– Not subject to monitoring
• Contribution
– Conditional transfer of funds
– Funds must be accounted for and are subject to
monitoring
4. Accountability
• The Grants & Contributions program is
governed by the need to collect data,
evaluate services and to be administratively
effective.
• An environment of heightened scrutiny and
accountability
• Audits and reviews
• Standing Committee on Citizenship and
Immigration
6. Planning, Assessing and Recommending Proposals
• Planning
– Set priorities, and formulate delivery objectives
to ensure that services meet client needs
• Assessing and Recommending Proposals
– Ensure contribution agreement funds are
awarded using a fair and transparent process;
7. Call For Proposal (CFP) Cycle
1st Service
Standard
(September 7)
1st Service Standard:
Acknowledgement of Receipt
of Application 2nd Service
2nd Service Standard: Standard
Decision on Applicant Eligibility (October 17)
3rd Service Standard:
Decision on proposal Approval 3rd Service
Standard (January
10
Agreement
Negotiated
8. When Negotiating a Contribution Agreement
• Quantitative and qualitative objectives, deliverables
should be:
– in support of CIC’s program objectives;
– achievable within the duration of the agreement.
• Costs must be:
– reasonable and directly related to the provision of
services
– conformed with CIC’s Negotiation Guidelines.
• CIC will contribute to a portion of the shared costs
required to achieve program objectives.
• Service providers need to declare all sources of
funding initially and during the duration of the CA.
9. Contribution Agreement
• A legally binding document between your
organization and the Government of Canada.
• Stipulates the maximum contribution/budget
over a specified period for the administration
and delivery of identified services and expected
results
• CA is comprised of two parts:
– The Articles and
– The Schedules
11. Articles Continued
6.0 Program Monitoring, Information and
Reporting Requirements
7.0 Privacy and Security Obligations
8.0 Default
9.0 Third Party
10.0 Intellectual Property
11.0 Capital Assets
12.0 General
12. Schedules
• Schedule 1
– Describes the objectives, activities, outputs,
outcomes and reporting
• Schedule 2
– Program Budget
• Schedule 3
– Outlines the terms of payment
• Schedule 4
– Contains supplementary terms and conditions
related to financial practices and program activities
13. Forecast of Cashflow
• What is a forecast of cashflow?
– Is a CIC reporting requirement
– Developed in consultation with the program
manager
– Forecast expenditures accurately according to
activities occurring that month.
14. Reviewing Claims and Calculating Payments
• What can be claimed? (Article 2.3)
– Eligible costs, incurred and paid for, up to the total
value of Schedule 2 (per fiscal year)
• Claims submitted by 10th of the following month
• Approximately 2 weeks for CIC to issue payment
• CIC may request supporting documents to
substantiate claimed expenses
• March claims should only include eligible
expenses incurred up to and on March 31
15. Claims Continued
• To avoid delays in processing claims, ensure that:
– Claims along with statistical and narrative reports are
submitted on time
– Copies of supporting documentation are attached when
requested
– Costs are incurred and paid
– Costs are eligible
– Expenses do not exceed maximum in Schedule 2
– Shared costs are claimed as per agreed percentage spilt
– Claims are mathematical accurate
16. Amending Contribution Agreements: Slippage
• Slippage occurs when claimed amount is
lesser than forecast
– Apparent slippage if the funds will be claimed
later
– Real slippage if the funds will not be claimed
• Real Slippage must be identified so that it
can be de-committed or reallocated
– Aim is to support programs throughout the
region
17. Amendments
• Used to modify the CA to account for
slippage or new developments in the
program
• Amendments are usually negotiated in
winter
• Amended CA documents are signed by your
organization and CIC
• Allow 6 - 8 weeks for approval
18. Monitoring
• Review of program finances and activities to
ensure that the terms and conditions of the
CA are being met.
– Each organization is subject to at least one
activity and one financial monitor for the
duration of the agreement
– Monitors provide an opportunity to improve
mutual understanding between the service
provider and the Settlement Officer
19. Purpose of Monitors
• Financial monitor
– Adequate financial controls are in place
– Supporting documentations are available
– Expenditures are reasonable and eligible under the
terms of the agreement
• Activity monitor
– Meet with management, staff and clients
– Review client files to ensure proper reporting and
record keeping (refer to article 6.0) (if applicable)
– Observe activities (classes, conversation circles, etc.)
20. Closing Agreement
• Final Claim
– Deadline is usually set for the first week of April
– Expenses must be incurred by March 31
• Final Report (Section 6.7 of CA)
– Submitted after the completion of fiscal year
activities (Annual Project Performance Report)
• Final payment
– Includes March claim and any holdback if applicable
– Usually occurs at the end of May
– May include the reconciliation of any overpayments
21. Referral Resources
• Meeting client needs
• Developing referral relationships
– LIPs, Francophone agencies, OCASI, etc.
• List of organizations serving newcomers
– http://www.servicesfornewcomers.cic.gc.ca/
– www.settlement.org
– www.211toronto.ca
