Warning This Web page has been archived on the Web.

Archived Content

Information identified as archived on the Web is for reference, research or recordkeeping purposes. It has not been altered or updated after the date of archiving. Web pages that are archived on the Web are not subject to the Government of Canada Web Standards. As per the Communications Policy of the Government of Canada, you can request alternate formats on the Contact Us page.

Skip booklet index and go to page content

Unaudited Financial Statements for the period ending March 31, 2010

Notes to the Financial Statement (Unaudited)

  1. Authority and objectives
  2. Summary of significant accounting policies
  3. Parliamentary authorities
  4. Accounts receivable and advances
  5. Tangible capital assets
  6. Accounts payable and accrued liabilities
  7. Deferred revenue
  8. Lease obligation for tangible capital assets
  9. Employee future benefits
  10. Environmental and contingent liabilities
  11. Contractual obligations
  12. Related party transactions
  13. Segmented information
  14. Adoption of new Treasury Board accounting policies
  15. Comparative information

1. Authority and objectives

Environment Canada was established under legislation by the Department of the Environment Act. Under this Act, the powers, duties and functions of the Minister of the Environment extend to and include matters relating to:

  • The preservation and enhancement of the quality of the natural environment (including water, air and soil quality);
  • Renewable resources, including migratory birds and other non-domestic flora and fauna;
  • Water;
  • Meteorology;
  • Enforcement of any rules or regulations made by the International Joint Commission relating to boundary waters; and
  • Coordination of the policies and programs of the Government of Canada respecting the preservation and enhancement of the quality of the natural environment.

Environment Canada delivers its mandate through the following programs:

  • Weather and Environmental Prediction Program
  • Biodiversity and Wildlife Program
  • Environmental Science and Monitoring Program
  • Chemicals Management Program
  • Clean Air Program
  • Water Program
  • Legislation and Information Program
  • Ecosystems Initiatives Program
  • Mackenzie Gas Project (see below)
  • Internal Services

Responsibility for the Mackenzie Gas Project (MGP) has been transferred to the Minister of the Environment from the Ministry of Industry Canada, effective October 2008. Similarly, responsibility for the Toronto Waterfront Revitalization Initiative and the Harbourfront Corporation has been transferred to the Minister of Finance, effective October 30, 2008 through Order in Council. Changes to Parliamentary Authorities for those initiatives occurred through either the Main Estimates or Supplementary Estimates in 2009-2010. As such, Environment Canada is responsible to report on the Mackenzie Gas Project and on any residual recoveries of expenditures for the Toronto Waterfront Revitalization Initiative and Harbourfront Corporation within its 2009-2010 unaudited financial statements.

In addition, Environment Canada has authority under numerous pieces of legislation which affect how the department operates. The most significant Acts are as follows:

  • Antarctic Environmental Protection Act
  • Canada Water Act
  • Canada Wildlife Act
  • Canadian Environmental Assessment Act
  • Canadian Environmental Protection Act, 1999
  • Department of the Environment Act
  • Fisheries Act (Sections 36-42)
  • International River Improvements Act
  • Migratory Birds Convention Act, 1994
  • Species at Risk Act
  • Weather Modification Information Act
  • Wild Animal and Plant Protection and Regulation of International and Interprovincial Trade Act
  • Kyoto Protocol Implementation Act (2007, c. 30)
  • Federal Sustainable Development Act (2008, c. 33)

2. Summary of significant accounting policies

These financial statements have been prepared in accordance with Treasury Board accounting policies which are consistent with Canadian generally accepted accounting principles for the public sector. The presentation and results using the stated accounting policies do not result in any significant differences from Canadian generally accepted accounting principles.

Significant accounting policies are as follows:

(a) Parliamentary authorities
Environment Canada is financed by the Government of Canada through Parliamentary authorities. Financial reporting of authorities provided to Environment Canada do not parallel financial reporting according to generally accepted accounting principles since authorities are primarily based on cash flow requirements. Consequently, items recognized in the Statement of Operations and the Statement of Financial Position are not necessarily the same as those provided through authorities from Parliament. Note 3 provides a reconciliation between the bases of reporting.

(b) Net Cash Provided by Government
Environment Canada operates within the Consolidated Revenue Fund (CRF), which is administered by the Receiver General for Canada. All cash received by Environment Canada is deposited to the CRF and all cash disbursements made by Environment Canada are paid from the CRF. The net cash provided by Government is the difference between all cash receipts and all cash disbursements including transactions between departments of the Government.

(c) Amount Due from the Consolidated Revenue Fund (CRF)
Amount Due from CRF is the result of timing differences at year-end between when a transaction affects authorities and when it is processed through the CRF and represents the net amount of cash that the Department is entitled to draw from the CRF without further appropriations to discharge its liabilities.

(d) Revenues
Revenues from regulatory fees are recognized in the accounts based on the services provided in the year. Funds received from external parties for specified purposes are recorded upon receipt as deferred revenue. These revenues are recognized in the period in which the related expenses are incurred. Other revenues are accounted for in the period in which the underlying transaction or event occurred that gave rise to the revenue takes place. Funds that have been received are recorded as deferred revenues (Note 7), provided the department has an obligation to other parties for the provision of goods, services or the use of assets in the future.

(e) Expenses
Expenses are recorded on the accrual basis:

  • Grants are recognized in the year in which the conditions for payment are met. In the case of grants which do not form part of an existing program, the expense is recognized when the Government announces a decision to make a non-recurring transfer, provided the enabling legislation or authorization for payment receives parliamentary approval prior to the completion of the financial statements;
  • Contributions are recognized in the year in which the recipient has met the eligibility criteria or fulfilled the terms of a contractual transfer agreement, provided that the transfer is authorized and a reasonable estimate can be made;
  • Vacation pay and compensatory leave are accrued as the benefits are earned by employees under their respective terms of employment;
  • Services provided without charge by other government departments for accommodation, employer contributions to the health and dental insurance plans, legal services and worker's compensation are recorded as operating expenses at their estimated cost. The providers of these services determine the estimated costs to be recorded by the departments.

(f) Employee future benefits

  • Pension benefits: Eligible employees participate in the Public Service Pension Plan, a multi-employer pension plan administered by the Government. Environment Canada’s contributions to the Plan are charged to expenses in the year incurred and represent the total departmental obligation to the Plan. Current legislation does not require Environment Canada to make contributions for any actuarial deficiencies of the Plan.
  • Severance benefits: Employees are entitled to severance benefits under labour contracts or conditions of employment. These benefits are accrued as employees render the services necessary to earn them. The obligation relating to the benefits earned by employees is calculated using information derived from the results of the actuarially determined liability for employee severance benefits for the Government as a whole.

(g) Accounts and loans receivables
Accounts and loans receivables are stated at the lower of cost and net recoverable value; a valuation allowance is recorded for receivables where recovery is considered uncertain.

(h) Contingent liabilities
Contingent liabilities are potential liabilities which may become actual liabilities when one or more future events occur or fail to occur. To the extent that the future event is likely to occur or fail to occur, and a reasonable estimate of the loss can be made, an estimated liability is accrued and an expense recorded. If the likelihood is not determinable or an amount cannot be reasonably estimated, the contingency is disclosed in the notes to the financial statements.

(i) Environmental liabilities
Environmental liabilities reflect the estimated costs related to the management and remediation of environmentally contaminated sites. Based on management’s best estimates, a liability is accrued and an expense recorded when the contamination occurs or when Environment Canada becomes aware of the contamination and is obligated, or is likely to be obligated to incur such costs. If the likelihood of Environment Canada’s obligation to incur these costs is either not determinable, or if an amount cannot be reasonably estimated, the costs are disclosed as contingent liabilities in the notes to the financial statements.

(j) Inventory
Inventory consists of parts, material and supplies held for future program delivery and not intended for resale. Inventory is valued at cost using the average cost method. If there is no longer any service potential, inventory is valued at the lower of cost or net realizable value.

(k) Tangible capital assets
All tangible capital assets and leasehold improvements having an initial cost of $10,000 or more are recorded at their acquisition cost. Environment Canada does not capitalize intangibles, works of art and historical treasures that have cultural, aesthetic or historical value, assets located on Indian Reserves and museum collections.

Amortization of tangible capital assets is calculated on a straight-line basis over the estimated useful life of the asset as follows:

Asset classAmortization Period
Buildings25 to 40 years
Works and Infrastructure20 to 40 years
Machinery and Equipment2 to 30 years
Vehicles3 to 25 years
Leasehold ImprovementsLesser of the remaining term of lease or useful life of the improvement
Leased tangible capital assetsOver term of lease/useful life

Assets under construction are recorded in the applicable capital asset class in the year that they become available for use and are not amortized until they become available for use.

(l) Measurement uncertainty
The preparation of these financial statements in accordance with Treasury Board accounting policies which, are consistent with Canadian generally accepted accounting principles for the public sector, requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses reported in the financial statements. At the time of preparation of these statements, management believes the estimates and assumptions to be reasonable. The most significant items where estimates are used are contingent liabilities, environmental liabilities, the liability for employee severance benefits and the useful life of tangible capital assets. Actual results could significantly differ from those estimated. Management’s estimates are reviewed periodically and, as adjustments become necessary, they are recorded in the financial statements in the year they become known.


3. Parliamentary authorities

Environment Canada receives most of its funding through annual Parliamentary authorities. Items recognized in the Statement of Operations and the Statement of Financial Position in one year may be funded through Parliamentary authorities in prior, current or future years. Accordingly, Environment Canada has different net results of operations for the year on a government funding basis than on an accrual accounting basis. The differences are reconciled in the following tables:

(a) Reconciliation of net cost of operations to current year authorities used:

(in thousands of dollars)20102009
Net cost of operations$1,137,866$1,156,516
Adjustments for items affecting net cost of operations but not affecting authorities:  
Add:  
Expenses not being charged to Appropriations129,30046,100
Revenues not available for spending18,45413,783
Adjustments for prior years Payables At Year End4,9502,217
Refund of previous year's expenditures1,042782
Inventory124112
 53,87062,994
Less:  
Services received without charge(91,043)(86,080)
Amortization of tangible capital assets (Note 5)(41,682)(33,432)
Employee Severance Benefits15,460(24,298)
Project deposits(2,380)(2,536)
Vacation pay and compensatory leave298(1,010)
Expenses related to Environmental Liabilities(32,527)(748)
Environmental Damage Fund(449)(595)
Expenses for claims pending litigation495(583)
Bad debt expense6(203)
Prepaid expenses previously charged to appropriation(226)(41)
Loss on sales of capital assets2(875)(688)
Other(725)(150)
 (153,649)(150,364)
Adjustments for items not affecting net cost of operations but affecting authorities:  
Add:  
Net acquisition of tangible capital assets (Note 5)52,90150,762
Capital lease payments4,148459
 57,04951,221
   
Current year authorities used$1,095,136$1,120,367

(b) Authorities provided and used:

(in thousands of dollars)20102009
Authorities Provided  
Vote 1 – Operating expenditures$857,172$798,246
Vote 5 – Capital expenditures55,03551,129
Vote 10 – Grants & Contributions132,804200,622
Statutory amounts128,697147,353
 1,173,7081,197,350
Less:  
Authorities available for future years(843)(162)
Lapsed authorities(77,729)(76,821)
 (78,572)(76,983)
   
Current year authorities used$1,095,136$1,120,367

1. This amount represents monies that are kept in trust by Environment Canada for Nature Conservancy of Canada
2. This loss is the result of disposing of assets with a net book value of $1.83 million for proceeds of $955 thousand.


4. Accounts receivable and advances

The following table presents details of the Department's accounts receivable and advances balances:

(in thousands of dollars)20102009
Receivables from other government departments and agencies$3,714$4,401
Receivables from external parties9,3466,565
 13,06010,966
Less: allowance for doubtful accounts on external receivables(446)(503)
Net accounts receivables12,61410,463
Employee advances161151
Total$12,775$10,614

5. Tangible capital assets

Cost
(in thousands of dollars)
2009Acqui-
sitions
Disposals, write-offs, adjust-
ments
2010
Land$25,244----$25,244
Buildings150,798505(1,544)152,847
Works and infrastructure4,05579(353)4,487
Machinery and equipment445,86522,7017,099461,467
Vehicles41,6684,6865,04741,307
Leasehold improvements35,29727--35,324
Assets under construction1109,68424,9034,258130,329
Capital lease2 (Note 8)18,19916,659--34,858
 $830,810$69,560$14,507$885,863
     
Accumulated amortization
(in thousands of dollars)
2009Amorti-
zation
Disposals, write-offs, adjust-
ments
2010
Buildings$88,380$5,406$19$93,767
Works and infrastructure2,116125(26)2,267
Machinery and equipment330,05726,3359,248347,144
Vehicles26,1103,7704,30125,579
Leasehold improvements21,8441,431--23,275
Capital lease5,0954,615--9,710
 $473,602$41,682$13,542$501,742
     
Net book value
(in thousands of dollars)
2009  2010
Land25,244  25,244
Buildings62,418  59,080
Works and infrastructure1,939  2,220
Machinery and equipment115,808  114,323
Vehicles15,558  15,728
Leasehold improvements13,453  12,049
Assets under construction1109,684  130,329
Capital lease13,104  25,148
Net Book Value$357,208  $384,121

Amortization expense for the year ended March 31, 2010 is $41,681,506 ($33,431,976 in 2009).

1. Assets under construction include: buildings, engineering works, software and other construction. Disposals include those assets under construction that have been placed in service. Assets that are still under construction are not treated as depreciable assets as they are not yet available for use.
2. Net acquisition of tangible capital assets ($52,901,000) presented on the Statement of Cash Flow and on Note 3(a) excludes the capitalization of the lease of the Super Computer.


6. Accounts payable and accrued liabilities

The following table presents details of the Department's accounts payable and accrued liabilities:

(in thousands of dollars)20102009
Accounts payable to other government departments and agencies$25,446$10,814
Accounts payable to external parties89,719114,948
 115,165125,762
Accrued liabilities111,931141,415
Closing balance$227,096$267,177

7. Deferred revenue

Deferred revenue represents the balance at year-end of unearned revenue stemming from amounts received from external parties which are restricted to fund the expenditures related to specific research projects and amounts received for fees prior to services being performed. Revenue is recognized in the period these expenditures are incurred or the services performed. Details of the transactions related to this account are as follows:

(in thousands of dollars)20102009
Opening balance$5,147$5,333
Amounts received51411
Project deposits2,2292,359
Revenue recognized(2,740)(2,556)
Closing balance$5,150$5,147

8. Lease obligation for tangible capital assets

The Department entered into agreements to lease certain space and equipment under capital leases with a cost of $34,857,900 and accumulated amortization of $9,710,148 as at March 31, 2010 ($18,198,560 of cost and $5,094,993 in accumulated amortization respectively as at March 31, 2009) as reflected in note 5. The obligations related to the upcoming years include Carleton University for which, on October 13, 2000, Environment Canada entered into an agreement to rent office laboratory space for the National Wildlife Research Centre (NWRC), at an annual cost of $1.3 million under a capital lease which expires in 2028. The 2009-10 obligations also include the Super Computer which is reported as a capital lease beginning 2009-10. The current lease for the Super Computer expires in 2012 with a possibility of an extension to 2014.

(in thousands of dollars)20102009
Maturing year  
2011$8,664$1,300
20128,0511,300
20131,3001,300
20141,3001,300
2015 and thereafter16,90018,200
Total future minimum lease payments36,21523,400
Less: imputed interest (0.71% to 5.63% )9,2298,925
Balance of obligation under leased tangible capital assets$26,986$14,475

9. Employee future benefits

(a) Pension benefits
Environment Canada’s employees participate in the Public Service Pension Plan, which is sponsored and administered by the Government. Pension benefits accrue up to a maximum period of 35 years at a rate of 2% per year of pensionable service, times the average of the best five consecutive years of earnings. The benefits are integrated with Canada/Québec Pension Plans benefits and they are indexed to inflation.

Both the employees and Environment Canada contribute to the cost of the Plan. The 2009-2010 expense amounts to $70,764,543 ($58,601,522.0 in 2008-2009) which represents approximately 1.9 times the contributions by employees (2 times in 2008-2009).

Environment Canada's responsibility with regard to the Plan is limited to its contributions. Actuarial surpluses or deficiencies are recognized in the financial statements of the Government of Canada, as the Plan's sponsor.

(b) Severance benefits
Environment Canada provides severance benefits to its employees based on eligibility, years of service and final salary. These severance benefits are not pre-funded. Benefits will be paid from future authorities. Information about the severance benefits, measured as at March 31, is as follows:

(in thousands of dollars)20102009
Accrued benefit obligation, beginning of year$129,025$105,184
Transferred from other government department effective April 1, 2009387--
 129,412105,184
Expense for the year(8,154)32,782
Benefits paid during the year(7,307)(8,941)
Accrued benefit obligation, end of year$113,951$129,025

10. Environmental and contingent liabilities

(a) Contaminated sites
Liabilities are accrued to record the estimated costs related to the management and remediation of contaminated sites where Environment Canada is obligated or likely to be obligated to incur such costs. Environment Canada has identified approximately 11 projects (10 in 2008-2009) where action is required and for which a liability of $88,795,353 ($56,268,622 in 2008-2009) has been recorded in accrued liabilities. Environment Canada has identified $27,635,807 ($60,710,707 in 2008-2009) in contingent liabilities as it is unclear at this time whether Environment Canada is obligated to incur these estimated remediation costs in the future. In these cases, further investigation is required before a liability can be recorded. The contingent liabilities are reviewed each year to reflect any changes in the estimates.

(b) Claims and litigation
Claims have been made against the Department in the normal course of operations. These claims include items with pleading amounts and others for which no amount is specified. Based on the Department's assessment, legal proceedings for claims estimated at $33,500,000 ($44,940,000 in 2008-2009) were pending at March 31, 2010. Some of these potential liabilities may become actual liabilities when one or more future events occur or fail to occur. To the extent that the future event is likely to occur or fail to occur, and a reasonable estimate of the loss can be made, an estimated liability is accrued and an expense recorded in the financial statements. There were no estimated liabilities booked as an expense in 2009-2010 ($495,000 in 2008-2009).


11. Contractual obligations

The nature of Environment Canada's activities can result in large multi-year contracts and obligations that have yet to be recorded as liabilities in the Accounts of Canada but for which Environment Canada is obligated to make future payments in order to meet its legal contractual requirements. Significant contractual obligations that can be reasonably estimated are summarized as follows:

(in thousands of dollars)Operating
leases
2011$7,900
20127,900
20137,900
20147,900
20157,900
Thereafter213,994
Total$253,494

12. Related party transactions

Environment Canada is related as a result of common ownership to all Government departments, agencies, and Crown corporations. The Government has structured some of its administrative activities for efficiency and cost-effectiveness purposes so that one department performs these on behalf of all without charge. The costs of these services, which include payroll and cheque issuance services provided by Public Works and Government Services Canada and audit services provided by the Office of the Auditor General are not included as an expense in Environment Canada’s Statement of Operations. There are other types of services received without charge, such as accommodation, certain employee benefits, workers’ compensation costs and legal services which are attributed to Environment Canada and are disclosed in Environment Canada’s Statement of Operations in the following amounts:

(a) Common services provided without charge by other government departments:

(in thousands of dollars)20102009
Employer's contribution to the health and dental insurance plans$43,684$40,588
Accommodation41,64940,364
Legal services4,2403,476
Workers’ compensation1,4701,652
Total$91,043$86,080

The Government has centralized some of its administrative activities for efficiency, cost-effectiveness purposes and economic delivery of programs to the public. As a result, the Government uses central agencies and common service organizations so that one department performs services for all other departments and agencies without charge. The costs of these services, such as the payroll and cheque issuance services provided by Public Works and Government Services Canada and audit services provided by the Office of the Auditor General are not included in the Department's Statement of Operations.

(b) Other transactions with related parties:

(in thousands of dollars)20102009
Accounts receivable from other government departments and agencies$3,714$6,565
Accounts payable to other government departments and agencies$25,446$10,814
Expenses – Other Government departments and agencies$188,196$169,037
Revenues – Other Government departments and agencies$26,308$26,077

13. Segmented information

Presentation by segment is based on the Department's program activity architecture. The presentation by segment is based on the same accounting policies as described in the Summary of significant accounting policies in note 2. The following table presents

(in thousands of dollars)WEPP1BWP2ESMP3CMP4CAP5
Operations and administration     
Salaries and employee benefits$102,730$54,053$69,068$90,171$53,096
Professional and special services7,5209,8877,70910,4808,225
Accommodation6,7733,5255,3065,7443,410
Other contracted services3,4584,2212,9853,7192,385
Travel6,9584,5637,5647,3612,480
Machinery & equipment2,6201,5697,1592,3674,433
Amortization3,7388459,5663,2984,608
Rentals1,8082,4614,1579611,028
Materials and supplies1,5982,5588,0454,1013,048
Telecommunications2,7637452,0091,195552
Equipment repair and maintenance1,0735601,9101,616474
Postage2143131,338334244
Information services – communications166732260549516
Environmental liabilities----------
Loss on disposal of capital assets83(35)755(13)(344)
Earmarked fees and levies--9------
Other140(575)(555)104(165)
Total Operations and administration141,64285,431127,276131,98783,990
Transfer payments     
Non-profit organizations1,35455,4431,04543527,370
Other countries and international organizations2,269484342504305
Other levels of governments within Canada--2,060----68
Other to individuals--2829--1
Industry256840----
Total transfer payments3,64858,0831,45693927,744
Total Expenses145,290143,514128,732132,926111,734
      
Sales of goods and services49,3163,89819,2093,9531,665
Other revenues657901,228220275
Total Revenues49,3814,68820,4374,1731,940
Net Cost of operations$95,909$138,826$108,295$128,753$109,794

Top of Page


(in thousands of dollars)WP6LIP7TWRI8EIP9
Operations and administration    
Salaries and employee benefits$57,335$25,913($41)$19,956
Professional and special services6,3073,970--1,898
Accommodation3,6951,680(3)1,271
Other contracted services1,638890--711
Travel3,363936--977
Machinery & equipment2,3151,064--184
Amortization3,714162--73
Rentals537107--214
Materials and supplies4,141675--270
Telecommunications665254--227
Equipment repair and maintenance90330--31
Postage48711--25
Information services – communications106116--505
Environmental liabilities--------
Loss on disposal of capital assets17(6)--(1)
Earmarked fees and levies------439
Other(10)19(22)(15)
Total Operations and administration85,21335,821(66)*26,765
Transfer payments    
Non-profit organizations4,00210,566--9,881
Other countries and international organizations--6,504----
Other levels of governments within Canada5,834----1,148
Other to individuals176------
Industry250------
Total transfer payments10,26217,070--11,029
Total Expenses95,47552,891(66)37,794
     
Sales of goods and services3,785----282
Other revenues688----387
Total Revenues4,473----669
Net Cost of operations $91,002 $52,891    ($66) $37,125

Top of Page


(in thousands of dollars)MGP10IS1120102009
Operations and administration    
Salaries and employee benefits$3,612$210,927$686,820$653,169
Professional and special services1,11938,76595,88089,058
Accommodation25317,27348,92746,385
Other contracted services6722,58042,65445,709
Travel4396,86441,50540,843
Machinery & equipment27714,80136,78939,357
Amortization--15,67841,68233,432
Rentals71517,24029,22832,909
Materials and supplies1374,66329,23629,963
Telecommunications807,08715,57715,556
Equipment repair and maintenance266,43713,06014,208
Postage401,4194,4254,271
Information services – communications247533,7273,693
Environmental liabilities--32,03232,0321,332
Loss on disposal of capital assets--418874688
Earmarked fees and levies----448--
Other--(757)(1,836)914
Total Operations and administration6,789396,1801,121,0281,051,487
Transfer payments    
Non-profit organizations32(29,300)80,828163,412
Other countries and international organizations----10,40812,523
Other levels of governments within Canada----9,1106,826
Other to individuals--3,3003,5343,285
Industry----383222
Total transfer payments32(26,000)104,263186,268
Total Expenses6,821370,1801,225,2911,237,755
     
Sales of goods and services61,28283,39677,902
Other revenues--3764,0293,337
Total Revenues61,65887,42581,239
Net Cost of operations  $6,815$368,522$1,137,866$1,156,516

1 (WEPP) Weather and Environmental Prediction Program
2 (BWP) Biodiversity and Wildlife Program
3 (ESMP) Environmental Science and Monitoring Program
4 (CMP) Chemicals Management Program
5 (CAP) Clean Air Program
6 (WP) Water Program
7 (LIP) Legislation and Information Program
8 (TWRI) Toronto Waterfront Revitalization Initiative
9 (EIP) Ecosystems Initiatives Program
10 (MGP) Mackenzie Gas Project
11 (IS) Internal Services

* Recoveries of expenses from prior years


14. Adoption of new Treasury Board accounting policies

Effective this fiscal year, Environment Canada adopted the revised Treasury Board Accounting Standards 1.2. The major change, required by the adoption of the revised standards, is the recording of the amount Due from the Consolidated Revenue Fund as an asset on the Statement of Financial Position.

The adoption of new Treasury Board accounting policies has been accounted for retroactively with the following impact on the comparative results for 2008-09.

(in thousands of dollars)2009 As
previously
stated
Effect of
changes
2009
restated
Statement of Financial Position:   
Assets$374,720$259,298$634,018
Equity of Canada(128,999)259,298130,299

15. Comparative information

Comparative figures have been reclassified to conform to the current year's presentation. This includes amounts reported against program activities in the Statement of Operations which needed to be restated to comply with the new Receiver General for Canada requirement of reporting Internal Services separately form other program activities. In addition, the Due from the Consolidated Revenue Fund found in the Statement of Financial Position and Statement of Equity had to be recorded to comply with Government of Canada new disclosure requirements.