Core Policy & Procedures Manual Amendments
Amend any instances of gendered pronouns throughout CPPM to non-gendered pronouns
Amend any CPPM language relating to persons with disabilities to preferred terms.
March 8 - Procedure F Journal Vouchers
- F.3 Initiating an Inter-Ministry Journal Voucher
- Provide clarity on procedures for internal recoveries such as recoveries between ministries, between votes, or recoveries within same vote; that will provide a consistent approach in the accounting and recording of recoveries across ministries.
- I.3 Betterments
- Provide clarity on the application of criteria for betterment.
- Provide clarity that regular maintenance such as a roof replacement is not a betterment.
- Provide clarity of wording by deleting reference to amortization period and betterments under the subject of maintenance.
- I.5 Amortization - Provide clarity for what is needed to demonstrate exceeding 40 year useful life and requirement to obtain prior Office of the Comptroller General approval.
- Appendix A: Useful Life and Thresholds
- Create new asset class Long Term Tenant Improvements (effective April 1, 2018) and provide definition.
- Rename Office Improvements to Short Term Tenant Improvements.
- 10.4.1 Group Information – Update the definitions of Group II and Group III to reflect the new Management Classification & Compensation Framework Bands. The Management Job Evaluation Plan is no longer in use.
- D.9.1 Electronic Deposit of Payments to Supplier - Provide clarity on the existing policy of employee EFT not to be used in circumstances related to government funds. Government funds must be fully segregated from employee personal assets.
- Appendix A – Useful Life and Thresholds - Clarify that certain vehicles that have been up fitted with special enhancements make them more in the nature of specialized heavy equipment versus vehicles, so sheriff vans, corrections vehicles and ambulances should be categorized as specialized Heavy Equipment.
June 1 - Procedure C. Reimbursement of Expenses
- I.2 Acquisition of New Assets – Provide more clarity on:
- Capitalization of salaries by distinguishing incremental costs versus period costs;
- Supporting documentation needed for capitalizing salary costs;
- Activities for employee salaries that are being capitalized;
- Expectations for arranging employee resources involved in capitalized IM/IT projects.
October - Policy 4. Expense Management, Procedure E. Special Types of Disbursements
- E.4 Business Transaction Account (BTA) – E.4.3 Transaction and monthly limits and the approvals process for limits above thresholds established for the Business Transaction Account (BTA) comparable to the Purchasing Card.
- 4.3.19 Purchases by Government Charge Card – Consequential revision only. A comparable introductory sub-section, Business Transaction Account added, including a link to E.4.3 details.
- Procurement Services Branch, Shared Services BC manages vehicle acquisitions on behalf of ministries;
- government vehicles are purchased directly and no longer leased; and
- the new vendor name, contact information and website links.
January - Policy 18. Administration, Consequential Revisions
- 18.3.8 Section amended for Distribution Centre Victoria’s new master standing agreement for government acquisition of office products. Effective January 2, 2015 ministries must purchase their office products and supplies directly from the master standing agreement.
Sub-sections revised as Queen’s Printer no longer provides web page development and hosting; content management; and print and interactive educational resource material. The government telephone directory and current legislation are publically available online.
- 5.2 General – Amend this section to include the roles and responsibilities of the Office of the Chief Information Officer (OCIO) to support the capital planning process by developing a detailed three-year capital plan for the Consolidated Revenue Fund (CRF) IM/IT Capital Investments, with a 10 year outlook.
- 5.4 Information and References – Amend this section to include link to the IM/IT Capital Investment Management Framework that provides the roles, responsibilities and processes for all CRF IM/IT capital investments.
- D.10.5 Cheque Management – New Section to replace and repeal Information Bulletin # 7 (Central Procedures for Outstanding Uncashed Cheques, 2006) as well as housekeeping items throughout CPPM D.10.
- 7.2.13 Exchange Rates – Former policy 1 is repealed and replaced by use of the Bank of Canada posted exchange rate in CPPM D.4 and G.4 procedures, and a converter tool in CPPM D.4, for accounting entries.
- D.4 Payments in US Funds to Suppliers Located in the United States – Revised for use of the Bank of Canada posted exchange rate to account for the exchange when making US cheque payments under $50,000, and for consistency with the procedure for US cheque payments over $50,000 and up to $250,000. Provides a link and steps to take to use the Bank of Canada’s online converter tool, in addition to, a manual calculation as an alternative method to convert US dollars to the Canadian equivalent.
- G.4 Deposits in US Currency – Revised for use of the Bank of Canada posted exchange rate for ministries to account for the exchange when processing US deposits up to $10,000.
April - Policy 12. Information Management & IT Management, Policy 6. Procurement, Glossary
- 12.3.1 Appropriate Use of Government Resources – Removing old policy on appropriate use of government resources and adding a link to the Office of the Chief Information Officer’s new policy on appropriate use.
- 6.3.2.a(5) Pre-Award and Solicitation – Added: reference and link to the Short Form RFP (SRFP) template; and link to Procurement Services Branch guidance on selection of appropriate procurement process including the SRFP.
- 6.3.2.a(7), 6.3.3.b(6), 6.3.3.c(1) – Added reference to SRFP.
- 6.4.3 Request For Proposals – Added reference to a new SRFP writing guide for ministry staff.
- Glossary – Added new term: Short Form Request for Proposal
February 13 - Policy 8. Asset Management, Policy 6. Procurement, Procedure I. Tangible Capital Assets
- 8.3.1 Inventory – Amended section to include surplus real property held for resale; requirement to maintain inventory of land and building; direction for ministries’ responsibilities in disposing surplus real property held for resale; and link to SSBC Inventory Policy for Real Property (for CRF).
- 8.3.2 Tangible Capital Assets and Other Assets – Amended section to include Tangible Capital Assets (TCAs) identified as surplus held for resale need to be accounted for per CPPM I.6; and TCAs reclassified as surplus that are still in use must continue to be amortized.
Policy 6. Procurement – Consequential amendments
- 6.3.4.d Disposal of Surplus Assets – Added reference for disposal of surplus assets classified as inventory held for resale CPPM 8.3.1.
- I.6 Disposals – Amended to reflect recording of tangible capital assets reclassified as properties for resale; deferral of disposal costs when a gain is anticipated on the sale of Inventory – properties for resale; and removal of Appendix B, Sample 6.
February 18 - Policy 22. Communications & Public Engagement, Procedure D. Payment Processing
- 22.0 Communications and Public Engagement – new chapter added to clarify the role and objectives of Government Communications and Public Engagement (GCPE). A link to the GCPE website is included to allow ministries access to a list of GCPE services and relevant procedural information.
- D.13 Block Supplier – The chapter has been amended to update information regarding the risks and the permissible uses of a block supplier number. The amendment also provides the information required when submitting a request for the use of a block supplier to the Comptroller General.
October - Policy 11. Transportation, Procedure H. Financial Reporting
- Predominantly housekeeping items for clarity purposes re-organizing a number of sections for clarity and added additional language around use of government vehicles, including use by non-employees, out-of-province drivers, and associated liability.
- Focus is on a preferred order for transportation choices:
- public transit,
- government vehicle,
- and only then a privately-owned vehicle.
- H.1 Fiscal Year – End Close Off/Accrual Accounting Procedures – Prepaid capital advances have not been in use since April 1, 2009. The instructions for these are no longer required.
March - Procedure M. Sales Taxes, Consequential Revisions
- M. Sales Taxes (Effective April 1, 2013) – chapter replaced with requirements for the Provincial Sales Tax (PST) and the Federal Goods and Services Tax (GST).
- The Province pays 7% PST and 5% GST on taxable goods and services. Entities on Schedule A of the Reciprocal Taxation Agreement receive a rebate from the Canada Revenue Agency (CRA) on GST paid.
- Ministries charge and collect PST and GST on applicable government sales, and pay PST and GST on taxable goods and services where payable after March 31, 2013. The Office of the Comptroller General is responsible for corporate GST administration and reporting, and settlement of CRA GST remittances and rebate claims.
- Key internal procedures to support government staff and guide sales taxes administration are outlined in sections M.1 through M.16.
January 31 - Policy 21. Government Transfers, Consequential Amendments
- 21.0 Government Transfers – New chapter in CPPM created to replace CPPM 4.3.14 to provide the following:
- Reflect guidance from the Public Sector Accounting Standards PS 3410 (effective date April 1, 2012) on government transfers pertaining to:
- Eligibility Criteria
- Authorizations made around the financial statement date
- Recognition and recording Grants, Entitlements, and Shared Cost Arrangements
- An approval process that requires a Government Transfer Request to support the government transfer payment.
- Provide information and resource section that will have tools to support ministries to manage government transfers (e.g. decision trees and guidelines).
- Reflect guidance from the Public Sector Accounting Standards PS 3410 (effective date April 1, 2012) on government transfers pertaining to:
- Overall, the changes to CPPM are to provide information for users to make informed decisions on the management of government transfers.
- Sections revised for the addition of CPPM 21 Government Transfers and revised government transfers language and requirements:
- 4.3.14 Transfer Payments – Description of government transfer as a type of payment retained in CPPM 4. However, remaining contents removed from CPPM 4.3.14 and moved to CPPM 21.
- 6.2 General – Identify government transfers pertaining to grants and entitlements as excluded from CPPM 6 policy.
- 6.3.3.a(2) Direct Awards – Transfer Under Agreement are renamed to Shared Cost Arrangements. Link to CPPM 21.3.6
- 6.3.3.e(4) Administration – Transfer Under Agreement are renamed to Shared Cost Arrangements.
- 7.2.3 Cost Sharing Agreements – Amended to include government transfers of monetary assets or tangible capital to the Province from other entities. Link to CPPM 18.104.22.168.
- H.1 Fiscal Year-End Close Off/Accrual Accounting Procedures:
- Expenses – Amended to reflect recognition of an expense by the Province as the transferring government for shared cost arrangements. Link to CPPM 21.3.3.
- Expenses/Accounts Payable – Amended to reflect recognition of an expense for unpaid portions of incurred eligible expenses arising from a financing arrangement of a shared cost arrangement. Link to CPPM 21.3.3.
- I.8 Sales and Transfers of Tangible Capital Assets – Provide clarity that sales or transfers where there is an exchange transaction (the Province is the direct beneficiary of the sale or transfer of the tangible capital asset) should be recorded at fair market value.
Note: CPPM 22.214.171.124 addresses a government transfer of tangible capital assets.
- M.6 External Party Costs – shared cost agreements renamed to shared cost arrangements.
- M.8 Government Transfer Payments – transfer payments renamed to government transfer payments and terminology changed.
January 14 - Policy 7. Revenue & Receivables Management, Policy 11. Transportation, Procedure B. Expenditure Control, Procedure D. Payment Processing, Procedure E. Special Types of Disbursements, Procedure G. Revenue Control
- 7.2.23 Set-offs
- Policy 2 – Insertion for the Executive Director, Corporate Compliance and Controls Monitoring Branch or any authorized official in the Office of the Comptroller General to approve inter-ministry set-off requests under $50,000.
- Policy 3 – Clarification of approval of inter-ministry set-offs by the Comptroller General.
- 11.3.5 Out-of-Province Use of Government Vehicles – new section created to provide further guidance and clarity.
- B.2 Advances Through Government Agents – Sub-section B.2.3 to remove reference to government agent cheques as they will no longer to be in use. Section 2.1 also revised.
- D.10 Cheque Management – Minor revisions and removals in D.10 and D.10.3 to remove references to government agent cheques as they will no longer to be in use.
- E.7 Ministry Payments by Government Agent Cheques – Section removed entirely with removal of government agent cheques from use.
- G.10 Rounding the Penny for Cash Transactions – New procedures to accommodate rounding the penny for cash transactions as per the Government of Canada’s announcement of eliminating the penny effective February 04, 2013.
December - Policy 13. Financial Systems & Controls
- 13.0 Financial Systems and Controls – chapter rewritten to improve policy direction, clarify roles and responsibilities, assist ministries in understanding Financial Risk and Control Review (FRCR) requirements, and to support use of the suite of corporate financial systems to process financial information. Changes include new sections with:
- definitions for financial information and financial systems, what a FRCR is, as well as, guidance to support ministries in preparing their FRCRs;
- definitions for Payment Card Industry Data Security Assessments (PCI-DCAs), Privacy Impact Assessments (PIAs), Security Threat Risk Assessments (STRAs), and the Suite of Corporate Financial Systems;
- guidance on risk-based internal controls, standards for accounting assertions and assessment of application and general computer controls;
- guidance to ministries to lever related aspects where STRAs, PIAs, PCI-DSAs and FRCRs are completed on the same information technology systems and control regimes; and
- a sample FRCR template.
- Ministries are required to:
- collaborate with the Office of the Comptroller General prior to developing a new financial system, enhancement or component thereof, and/or submitting a funding request for same;
- ensure that in any ministry self-assessment situation, a FRCR is approved by independent ministry staff and/or a professional service provider with financial and IM/IT audit skills;
- complete a pre-implementation FRCR and receive Comptroller General acceptance of the report before a financial system is put into production; and
- conduct a post-implementation FRCR within two years of financial system operation, and have the report accepted by the Comptroller General before the third year of operations.
October - Policy 14. Risk Management, Policy 18. Administration
- 14.0 Risk Management – policy updated to emphasize and support a culture of mature Enterprise Risk Management (ERM) across government. The amendment provides mechanisms to ensure that ministries are held accountable for ERM by defining clear roles and responsibilities for Ministries, Deputy Ministers’ Council and the Government Chief Risk Office.
- 18.3.5 Financial Records – policy updated and aligned with Records Information Management policy in CPPM 12, the Administrative Records Classification System (ARCS), and the Redundant Source Records Special Schedule 206175 to clarify requirements for ministry financial records. Records policy applies to all records, financial or non-financial, paper or electronic. Guidance added for use of the special schedule for those business areas seeking to maintain electronic records, and scanned or digital images as official file copies in place of the original paper records. Use of the special schedule must be in accordance with the schedule and its guide requirements.
Updates to storage, and access and retrieval subsections to align with current records information management policies and standards and to identify the Records Management Operations as the offsite storage service provider for ministries.
April - Policy 12. Information & Technology Management, Policy 15. Security, Policy 20. Loss Management, Procedure D. Payment Processing, Procedure L. Loss Reporting
- 12.3.3 Information Management – New subsection documenting the key elements of the Working Outside the Workplace Policy.
- 12.3.6 Information and Technology Security – New subsection documenting the key elements of the Information Incident Management Process.
- 15.2 General – Expands the responsibilities of the Chief Security Officer, Government Security Office and clarifies the role of the Government Chief Information Officer in relation to information incidents and other Security responsibilities.
- 15.3 Policy – Clarifies organizational roles in Security policy.
- 20.2 General – Restatement of annual loss reporting requirement (L.7) to Risk Management Branch; Comptroller General role and activities updated to reflect organization changes.
Provides a description of information incidents as loss incidents and broadens "illegal activities" loss incident category to include breach of Cabinet confidentiality.
- Roles and Responsibilities – Documents the responsibility of the Government Chief Information Officer referencing the information Incident Management Process.
- 20.4 Fraud Risk Management Policy – New subsection – using existing information from other areas in CPPM and central agencies to provide comprehensive fraud policy which establishes clear roles and responsibilities for government employees at all levels in managing fraud risk.
- D.13 Block Suppliers – New procedures have been prepared to provide ministries with direction on the appropriate use of block suppliers.
- L.1 General – Wording changed to provide clarity when to report a loss.
- L.2 Information and information technology incidents – Defines procedures to directly link information incidents to the Information Incident Management Process. Also clarifies procedure for incidents involving Cabinet confidentiality.
- L.3 Illegal Activities – Direction provided regarding responsibility to report illegal activity (regardless of amount). Clarifies the loss reporting procedure for losses involving Cabinet confidentiality.
March - Policy 7. Revenue & Receivables Management, Procedure E.1 Legally Encumbered Payments
- 7.0 Revenue and Receivables Management – Parts 1 and 2 amalgamated and Chapter Name changed from Revenue Management to Revenue and Receivables Management. Policies throughout this chapter have been updated for clarity and concurrence with responsible organization name, account, and legislation changes.
- 7.2.2 Fees and Licenses – Policy 2 revised to reflect that information on new fees or changes to existing fees are submitted to Treasury Board Staff for review.
- 7.2.5 Delegation of Revenue Responsibilities – Policy 5 revised; Comptroller General approval is required for any exception to revenue responsibilities policies 3 and 4. Used to be the ministry Chief Financial Officer. Changed Revenue Authorities to Revenue Responsibilities as there is no legislative authority for revenue processes (unlike Expense Authority).
- 7.2.10 Revenue Bank Accounts – name change for clarity formerly known as Accelerated Deposit Accounts.
- 7.2.19 Reporting Requirements – Policy 1 revised; the Aged Accounts Receivable report is now restricted to trade and tax receivables and excludes amounts owing from other governments. The report is used to monitor government-wide collection of accounts receivable where normal collection activities apply (e.g. billing, credit checks, set-offs, etc.).
- 7.2.21 Ministry Collection Action – emphasis in policies for a collection strategy that balances due diligence with ministry program and statutory requirements. Also, due date guidance conflicted with regulatory dates and were removed.
- 7.2.22 Employee Collection Action – removed policy with respect to setting off employee’s salaries for collecting overpayments. Current legislation restricts government from setting-off employee salaries/wages.
- 7.2.23 Set-offs – added definitions of types of set-offs as well as internal set-offs. Policy 2 introduces a new Inter-Ministry Set-off Request form, FIN 11 for ministries to submit to the Comptroller General for approval.
- 7.2.25 Revenue Division – organization name change; used to be Collections and Loans Management Branch. Policy 1 revised. Ministries no longer require Treasury Board Staff approval to transfer delinquent debt. An MOU between the ministry and the Revenue Division, Ministry of Finance, is required. In addition, policy regarding ministry use of private collection agencies has been repealed. The Revenue Division, Ministry of Finance is responsible for managing these services through an Alternative Service Delivery to recover debt.
- 7.2.26 Write-offs of Uncollectible Debts – policies have been updated to clarify information required for debt write-off requests over $5,000.
- E.1.1 General Overview – branch name change and mandate. Removed any reference to Assignments of Debt. 3CMB no longer honours these types of requests. Removed reference to Temporary Holds as these types of requests can only be made by Attorney General.
- E.1.2 Third Party Demand – branch name change and further clarification of third party demands.
- E.1.3 Garnishing Order – branch name change and further clarification of garnishing orders.
- E.1.4 Inter-Ministry Set-off – Clarify definition of inter-ministry set-off.
- Temporary Holds section removed.
- Name of Set-off form updated to Inter-Ministry Set-off form.
- Addition of Inter-ministry Set-off request link and instructions.
January - Policy 16. Business Continuity Management
- The amendment provides an updated common framework for provincial government business continuity and defines the authorities and accountabilities for business continuity management.
November - Policy 18. Administration, Procedure D. Payment Processing
- 18.3.1 Accommodation – policy c) Residential Accommodation Policy and Residential Tenancy Agreement updated to ensure that the Policy and Agreement meet requirements of the Residential Tenancy Act amendments of 2003; removal of the Residential Accommodation Rent Schedule and replaced with Canada Revenue Agency Ceiling Amounts for Housing Benefits Paid in Prescribed Zones. TB Directive 3/96 is repealed and replaced with TB Directive 1/12.
- D.4 Payment in US Dollars to Suppliers Located in the United States – clarification provided on use to support ministries with US dollar cheque payments in varying amounts. Linkages added to new subsection D.12 Wire Transfer Payments, which are recommended for requests over $50,000 and mandatory for requests over $250,000.
- D.5 Payments to Other Foreign Suppliers – provides guidance on when to request foreign fund or Canadian dollar wire transfer payments, and cost effective alternatives for small foreign fund payments using the corporate purchase card, money orders and bank drafts. Linkages added to subsection D.4 above and the new wire transfer payments subsection.
- D.12 Wire Transfer Payments – new subsection to formalize this secure electronic and irrevocable method of payment provided by Treasury Payment Services (TPS) for large value, low volume, time sensitive, emergency, or foreign supplier payment requests by ministries.
Introduces and links two new FIN forms, one of which requires ministry completion and expense authority signoff to request a wire transfer by TPS. The ministry uses pay group ‘WIR GLP’ in CAS Accounts Payable to process the payment request.
May - Policy 15. Security
- 15.2 Roles and Responsibilities – Revised to clarify the role of the Executive Director, Risk Management Branch as government’s Chief Risk Officer. The amendment also identifies the roles and responsibilities of the new position of the Chief Security Officer, Government Security Office.
March - Policy 6. Procurement, Policy 7. Revenue & Receivables Management, Policy 12. Information & Technology Management, Policy 13. Financial Systems & Controls
- 6.0 Procurement – organization names updated throughout chapter for greater clarity
- 6.3.3 Contract Award – all procurement - new section added under Selection and Award - b. (1) Vendor Reference Check Review Policy (see TB Directive 4/11).The Directive provides policy for ministries to conduct internal reference checks on all core government service contracts with an estimated value of $10 Million or more (including the provision of an internal administrative review system enabling vendors to appeal a disqualification decision).
To support ministries in the application of the Directive, CPPM Chapter 6 will also include Reference Check Review Guidelines that have been developed to provide clarity on the implementation of the government’s vendor reference check requirements for government service contracts.
- 7.2 Revenue and Receivables Management Policy – increases ministry responsibilities for the control of public money to also ensure ongoing compliance with payment card industry (PCI) standards adopted by the provincial government. Expands Provincial Treasury functional authority and responsibilities to ensure government electronic payment systems comply with PCI standards.
- 7.2.8 Acceptance of Electronic Payments – new policy requirement for implementation of PCI standards for government electronic payment systems, and clarification of the Banking/Cash Management Branch’s functional authority for the approval of systems and standards.
- 12.3.5 Information Technology Standards – policy a) item 7 and 8 have been re-ordered, and item 9 added in order to provide the logical principles to ensure ministries and agencies leverage existing systems and processes, and that new systems with a payment application component will be compliant with PCI standards, government’s processes and policies.
- 13.3 Policy – Policy 1 recognizes the need for consistency with PCI standards along with government information technology standards in methodologies for the development of new financial systems, or changes to financial systems, that have a customer facing payment service.
Also, Policy 10 expanded to recognize the roles and responsibilities of ministries and central agencies for public facing payment systems, and specifically electronic commerce systems.
Policy 11 now requires ministries to ensure financial systems documentation is in sufficient detail to enable effective systems maintenance as well as compliance requirements.
February - Policy 10. Travel
- 10.3.16 Oracle iExpenses – #4 Revised to remove the restriction for delegation of iExpenses entry to only Strategic Leadership positions. As a result of the Application Infrastructure Upgrade to CAS Oracle Financials in February 2011, iExpenses entry delegation is now a self-service function and no longer requires the restriction to positions.
* Effective February 22, 2011
January - Policy 8. Asset Management, Procedure I.Tangible Capital Assets
- 8.0 Asset Management – more clarity added on the different types of government assets by providing revised descriptions for tangible capital assets and non-capitalized/expendable assets.
Hyperlinks provided to various government sites and to different sections of CPPM (e.g. tangible capital asset, purchasing handbook, disposal handbook) for easier access to required information on the subject.
Updated names and responsibilities for areas responsible for asset management (Shared Services BC, and Procurement Governance Office).
- 8.2 General – responsibilities clarified for the safeguarding of assets. This includes items that meet the capitalization threshold which are tracked in Oracle Fixed Assets as well as items under the threshold that are material or attractive.
- 8.2.1 Government Assets – new sub-section created for Government Assets to provide more clarity on the different types of government assets by reformatting paragraph to distinguish TCA, monies, and all other assets.
- 8.2.2 Asset Life Cycle – new sub-section created on Asset Life Cycle to provide users the scope of asset management and how it integrates into the planning, budgeting, monitoring, reporting and disposal processes.
- 8.3.2 Tangible Capital Assets and Other Assets – Tangible Capital Asset definition expanded to provide greater clarity for users.
- I. Tangible Capital Assets – greater clarity and additional guidance provided to help support financial capacity within the community to make decisions on capital asset accounting.
Hyperlinks added throughout the chapter to various government sites and to different sections of CPPM (e.g. tangible capital asset, inventories, capital grants, capitalization tools, land guideline, P3s, useful life) to enable users to access the required information on the subject.
- I.2 Acquisition of New Assets – introduced concepts of Whole Asset Approach and Component Approach to provide users information on how to account for acquiring large and complex assets.
New Capitalization decision tree tool created and linked to assist users in decision of when to capitalize.
- I.3 Betterments – clarity added on betterment versus maintenance by including examples and a decision tree tool to enable users to make informed decisions.
- I.4 Work-In-Progress – Information added on determining capital costs for projects that have multiple phases.
- Appendix A. Useful Life and Thresholds – difference between heavy equipment assets and operating equipment assets clarified.
Contractor's Travel Expenses – CPPM revised for CRA clarification respecting the Federal Excise Tax Act and the Canada-British Columbia Comprehensive Integrated Tax Coordination Agreement (CITCA):
- C.10 Contractor's Travel Expenses – emphasizes that registered contractors are entitled to claim input tax credits on the HST portion of their travel costs and reduce expense amounts they invoice ministries. Repeals restrictions on reimbursement of HST to registered contractors, small suppliers and appointees.
- Other sections restated to original and commensurate with C.10: 10.3.14 and 10.3.15.
June 11 - Procedure M. Harmonized Sales Tax, Consequential Amendments
- Chapter M. Harmonized Sales Tax introduces the new requirement for the Province to pay HST effective July 1, 2010* on purchases and be entitled to a rebate of the tax from the Canada Revenue Agency. Key internal procedures to support government staff and guide HST implementation are outlined in sections M.1 through M.20.
* Effective May 1, 2010 with respect to the collection and remittance of HST on certain taxable services provided by the Province. Until July 01, 2010 no HST will apply to ministry purchases. (M.19 Transitional Rules).
June - Policy 3. Planning, Budgeting & Reporting, Policy 4. Expense Management, 18. Administration
- 3.3.e Significant Accounting Policies – accounting policy terminology has been updated for consistency and new links to the Public Accounts.
- 3.4.3 Specific Accounting Policies – the use of prepaid capital advances and related accounting policy (formerly CPPM J) have been discontinued. In its place, appropriation authority for a grant to a government organization for its capital expenditures has been provided by amendment to the Financial Administration Act, section 56.1.
- 4.3.14 Transfer Payments – updated for trust policy, which is included in new Appendix 4. Prior to establishing a trust, ministries must seek legal advice from Legal Services Branch, Ministry of Attorney General, and accounting advice from Financial Reporting and Advisory Services Branch, Office of the Comptroller General. The trust agreement and funding require prior approval by Treasury Board. The trust requires a business case to demonstrate advantages that cannot be achieved by the expenditure management framework of appropriations, votes and special accounts.
- 18.3.7 Honoraria – Policy 1 repealed for alignment with BCPSA Human Resource 07. Policy Statement - Pay, Benefits and Leave. Government staff are not eligible to receive honoraria from government.
July - Policy 10. Travel, Procedure D.9 Electronic Deposit of Payments
- 10.2 General – updated linkage for the June 10, 2008 amendment to the Official Duties Expense Regulation, for travel expenses and allowances payable to an official (now defined as a minister, a committee member, a parliamentary secretary, or a member of the Legislative Assembly designated by a minister on behalf of the Executive Council to attend or act in an official capacity at a meeting, conference, task force, committee, visitation, function or work on a project).
- D.9.1 Electronic Deposit of Payments to Suppliers – updated to clarify ministry and central agency roles and procedures. Provides support to ministries in encouraging suppliers and government employees to receive electronic deposit of payments (e.g. iExpenses travel reimbursements). This will reduce costs, improve payment timelines and security, and support the Province's environmental initiatives (when combined with email receipt of payment statements).
Linkages to the updated PDF version of the Direct Deposit Application Form (FIN 312) are also provided, including a direct deposit Q&A section, and to updated completion instructions, clarifying the roles and responsibilities of ministry supplier maintenance contacts, Treasury Payment Services and CAS Security and Data Administration.
- D.9.2 Returned / Rejected Electronic Deposits – outlines Provincial Treasury notification procedures and provides direction on the replacement cheque process.
- D.9.3 Recall of Electronic Deposits – outlines the EFT recall process and requirements for an authorized ministry financial service representative to initiate a recall.
April - Policy 18. Administration, Procedure C. Reimbursement of Expenses
- 18.3.1 Accommodation – sub-sections updated for the new Accommodation Agreement between the Accommodation and Real Estate Services division (ARES) and ministry clients, which replaces the former information on Service Level Agreements.
- 18.3.4 Business Meeting and Protocol Event Expenses – removes policy to use the Business Expense Approval FIN 215 form for pre-approval of meeting and event expenses.
- 18.4.1 Guidance on Accommodation – updated for the government pricing and cost recovery funding model used for ARES services that was endorsed by the ADMs of Corporate Services Committee and the Shared Services Board of Directors.
- 18.4.2 Guidance for Auditor General Information Requests – Part C is broadened to accurately reflect the new conditional disclosure terms for access to information which is subject to public interest immunity or solicitor-client privilege.
- C.16.5, C.16.9, C.16.10 Allowances – sub-section changes for requirement to use an employee supplier code to support T4A generation.
- C.17.1 General – changes requirement for the Business Expense Approval FIN 215 form to discretionary use by ministries. Increases the form’s threshold expense limit to $100 (from $30) for ministries that use it.
March - Policy 10. Travel, Procedure C.1 Travel Expenses
- 10.0 Travel – the new requirement to calculate and report greenhouse gas emissions from business travel using SMARTTEC becomes effective April 1, 2008. The significant changes for this Core Policy and Procedures Manual update are as follows:
- 10.1 Objectives – additional objectives introduced to support government’s commitment to be carbon neutral for business travel, and to encourage ministries to consider alternatives to travel and methods of travel that mitigate the production of greenhouse gas emissions.
- 10.2 General – legislative reference to the new Greenhouse Gas Reduction Targets Act added. Roles and responsibilities for employees and expense authorities are expanded to include requirements to complete and approve travel emission reports.
- 10.3.2 Travel Approval – eligibility for travel claim reimbursement is updated for the requirement to complete and attach travel emission reports to travel expense reports.
- 10.3.16 iExpenses -- employee requirement to attach their SMARTTEC confirmation report to their iExpenses report; Expense Authority sign off includes certification that the employee has attached the SMARTTEC report and it appears reasonable.
- 10.3.18 SMARTTEC – specific policy requirements for implementation of the travel emission calculator are introduced.
- C.1.1 General – Procedure 3 updated for final travel emission reports to be completed within one week of a business trip, the same timeline for travel expense reports.
- C.1.7 SMARTTEC Reports – specific procedures added to support employees in using SMARTTEC to calculate greenhouse gas emissions from buisness travel and completing emission reports. Also, links to supporting documentation on the government intranet site – "Where green ideas work", and the Tier 1 help desk added for information and guidance with the web-based application.
December - Policy 6. Procurement
- 6.3.2.a(4) Pre-award and Solicitation – All Procurement – Reference to standing offers deleted.
- 6.3.2.a(6) Pre-award and Solicitation – All Procurement – New requirement to seek approval on combined value of sub-divided projects added.
- 6.3.2.a(11) Pre-award and Solicitation – All Procurement – Clarification added regarding the requirement to use a new contract when work continues on a previously terminated contract.
- 6.3.2.b(3) Pre-award and Solicitation – Goods – Standing offers changed to supply arrangements.
- 6.3.2.c(4) Pre-award and Solicitation – Services and Construction – Standing offers changed to supply arrangements.
- 6.3.2.c(5) Pre-award and Solicitation – Services and Construction – Standing offers changed to supply arrangements.
- 6.3.2.c(6) Pre-award and Solicitation – Services and Construction – Standing offers changed to supply arrangements.
- 6.3.3.e(2) Contract Award – All Procurement – Administration – Final sentence changed and moved to 6.3.3.e(9).
- 6.3.3.e(4) Contract Award – All Procurement – Administration – Clarification made regarding use of the GSA. Threshold for legal review raised to $250,000.
- 6.3.3.e(8) Contract Award – All Procurement – Administration – References to standing offers changed to supply arrangements.
- 6.3.3.e(9) Contract Award – All Procurement – Administration – Requirement added to document the justification for all modification agreements. Clarification added that extensions are permitted when unforeseen events cause delays. Modification agreements should not be used to substantially change the nature and intent of the original contract.
- 6.3.3.e(10) Contract Award – All Procurement – Administration – [New Clause] Requirement added to include the potential for contract renewals in the solicitation documents.
- 6.3.3.e(11) Contract Award – All Procurement – Administration – Existing clause 10 renumbered.
- 6.3.3.e(12) Contract Award – All Procurement – Administration – Existing clause 11 renumbered.
November - Policy 10. Travel, Policy 17. Internal Audit, Procedure C. Reimbursement of Expenses
- 10.0 Travel updated for new requirements of the Official Duties and Expense Regulation (BC Reg. 226/2001 as amended). The regulation covers travel expenses and allowances payable to officials for the purpose of discharging their official duties. The significant changes are:
- 10.2 General – policy application and 10.4.1 Group Definitions. Introduction of an additional category, Group IV, for officials (i.e., ministers and ministers of state, as defined by the regulation).
- 10.3.7 Meals/Per Diems. Group IV individuals may claim a $61 meal allowance for each day (or portion of the day) in discharging their official duties.
- 17.0 Internal Audit revised for the reorganized internal audit function in government. Significant changes are:
- 17.1 Objective expanded to include Cabinet and Treasury Board as key decision makers. Identifies the corporate work plan as the major focus of internal audit effort with resources for ministry internal audit work and internal audit investigations.
- 17.2 General revised for specific roles and responsibilities of Cabinet, Treasury Board, the Comptroller General, Deputy Ministers, Ministries, and the Internal Audit and Advisory Branch (IAAS).
- 17.3 Policy changes require:
- IAAS to provide Treasury Board with an annual assessment of risks, an annual corporate audit plan, and an annual audit report on the implementation of audit recommendations;
- IAAS to provide a deputy ministers' committee with an annual ministry-specific audit plan for approval;
- IAAS to have access to broader public sector organizations as directed by Treasury Board;
- IAAS to report out on investigations to the Comptroller General and the deputy minister for the responsible ministry; and
- the Comptroller General to annually summarize for Treasury Board the effectiveness of financial management and administration across government.
- C.14 Travel Allowances – Officials – Procedures updated for changes to the Official Duties and Expense Regulation (BC Reg. 226/2001 as amended).
June - Policy 4. Expense Management, Policy 10. Travel, Policy 11. Transportation, Policy 20. Loss Management, Procedure B. Expenditure Control, Procedure C. Reimbursement of Expenses, Procedure E.3 Travel Card, Purchasing Card Manual
Policy 4. Expense Management – Purchase and Travel Card
- 4.3.19 Purchases by Government Charge Card. The sections on the Purchasing Card and Travel Card were rewritten to help clarify policy and reflect the change from CIBC Visa and American Express to the Bank of Montreal MasterCard as the government's card provider. The only significant change to policy is that a single payment for government will now be made monthly and ministries will be charged back their appropriate expenditures.
Policy 10. Travel – Purchase and Travel Card – Oracle iExpense delegates
- 10.3.9 Vehicles and 10.3.13 Travel Card were updated to reflect change of Travel Card provider from American Express to the Bank of Montreal MasterCard.
- 10.3.16 Oracle iExpenses was updated to reflect the change from the Management Level (ML) salary classifications to the new Management Classification and Compensation framework. Only Strategic Leadership positions can use a delegate, however, positions that already use a delegate can continue to do so.
Policy 11. Transportation – Purchase and Travel Card
- 11.3.5 Short-term Rental Vehicles was updated to reflect change of Travel Card provider from American Express to Bank of Montreal MasterCard.
- The new chapters Loss Management and Loss Reporting consolidate existing loss policy and procedure found in Chapter 8. These chapters serve to emphasize the importance government places on its role as caretaker for government assets.
- Chapter 20 discusses
- categories of loss
- responsibilities of parties involved in loss management
- Chapter M discusses
- reporting losses by category
- accounting for losses
- Removed references to Visa and American Express
- Removed references to Visa and American Express
- E.3.4 – added government card coordinator and travel card coordinator responsibilities.
- E.3.5(c) – included requirement to change account status to "closed" for cardholders on extended leave.
- E.3.5(d) – introduced requirement to cancel travel card when employee leaves ministry.
- E.3.5(e) – payment due date has changed from 45 days with American Express to 30 days from statement date with the Bank of Montreal.
- E.3.5(g) – the fee structure for cash advances has changed from a flat 2% of the cash advance with Amex to interest being charged by the Bank of Montreal on the outstanding advance until repaid. To simplify the reimbursement calculation, interest is calculated at 1% of the cash advance, which should be sufficient to cover actual interest charges.
- The name of the product has been changed from Business Travel Account to Business Transaction Account, however, the functionality of the account remains similar.
- E.4.1 – removed the additional travel insurance coverage which is not available with the Bank of Montreal product
- E.4.2 – included BTA coordinator responsibilities.
- E.4.5 – single payment of account balances for all of government by Purchasing Services Branch (Ministry of Labour and Citizens' Services) with charge-backs to ministries.
- There were no changes to E.6, however, the Purchasing Card Manual was updated to reflect changes to the new Bank of Montreal MasterCard.
Purchasing Card Manual
- Chapter 1.0 Introduction – reference to purchases up to $5,000 was removed. Chapter 3.0 requires transaction limits to be set annually and are to be based on actual requirements and the budget allocation of the expense authority responsible for the purchasing card.
- Chapter 2.0 Roles and Responsibilities – administrative responsibilities will be performed by purchasing card coordinators in the BMO details Online system.
- Chapter 3.0 Authority to Use Purchasing Card – all references to purchasing card purchasing authority and purchasing authority delegation matrix were removed. Authority rests with the expense authority whose budget will be charged for the expenditures.
- Chapter 4.0 Adding New Organizational Units to a Ministry Hierarchy – hierarchy structures are set up and maintain in BMO details Online by the purchasing card coordinators.
- Chapter 6.0 Making Purchases – default Merchant Category Code blocking has been established and ministries can make changes to their default blocking.
March - Policy 6. Procurement, Policy 7. Revenue Management
- 7.2 is amended to expand scope beyond credit and debit cards
- 7.3.8 is amended to
- Increase scope of electronic payments beyond credit and debit cards
- Reflect Treasury Board direction that in order to improve customer service electronic payments will be accepted for payment
- Alter the role of senior financial officers when evaluating methods of payment receipt in program
- 126.96.36.199 is amended to allow for payments to be received electronically.
- 6.2 General – References to the BC – Alberta Trade, Investment, and Labour Mobility Agreement (TILMA) added.
- 6.3.2.a(14) Pre-award and Solicitation – All Procurement – Reference to TILMA added.
- 6.3.2.a(15) Pre-award and Solicitation – All Procurement – Reference to TILMA added.
- 6.3.2.b(3) Pre-award and Solicitation – Goods – Reference to TILMA added and threshold reduced from $25,000 to $10,000.
- 6.3.2.b(4) Pre-award and Solicitation – Goods – Threshold reduced from $25,000 to $10,000.
- 6.3.2.b(5) Pre-award and Solicitation – Goods – Threshold reduced from $25,000 to $10,000.
- 6.3.2.c(4) Pre-award and Solicitation – Services and Construction – Reference to AIT removed and reference to TILMA added. Paragraph split into two, one focusing on services and the other focusing on construction. Threshold for services reduced from $100,000 to $75,000.
- 6.3.2.c(5) Pre-award and Solicitation – Services and Construction – Paragraph split into two, one focusing on services and the other focusing on construction. Upper limit threshold for services reduced from $100,000 to $75,000.
- 6.3.2.c(6) Pre-award and Solicitation – Services and Construction – Word change from "and" to "or" in first sentence.
- 6.3.5.a(7) Information Management and Information Technology (IM/IT) Procurement – Reference to AIT removed and threshold reduced from $25,000 to $10,000.
- 6.3.5.a(8) Information Management and Information Technology (IM/IT) Procurement – Reference to AIT removed and threshold reduced from $100,000 to $75,000.
- 6.3.5.a(11) Information Management and Information Technology (IM/IT) Procurement – Reference to TILMA added.
- 6.3.5.b(12) Information Management and Information Technology (IM/IT) Procurement – Thresholds reduced from $25,000 to $10,000 and from $100,000 to $75,000. Reference to AIT deleted and reference to TILMA added.
- 6.4.4 Agreement on Internal Trade – The sub-heading "Agreement on Internal Trade" has been changed to "Trade Agreements". Existing material maintained as paragraph "a". New paragraph "b" added, covering TILMA and specifying its application.
February - Policy 12. Information Management & Information Technology Management
Chapter 12 is amended as follows:
- Outlines roles, responsibilities and accountabilities of the Government Chief Information Officer (CGIO)
- Conversion of information and technology management policies from narrative descriptions to principle-based statements
- Revised and updated the GCIO's authority to define information and technology management strategies, policies and procedures for government
- Reflects the organizational and personnel changes within government over the last 5 year (e.g. the creation of Shared Services)
- The existing Chapter 12 is replaced with a new chapter with four sections
- Policies include:
- Appropriate use of government information and technology
- Information and technology planning
- Information management
- Electronic identity management
December - Policy 6. Procurement
- 6.3.2.a Pre-award and Solicitation – All Procurement – Chart of CSAs updated to reflect new website links, provide additional information regarding Agencies of Record for advertising, and add an item concerning recruitment advertising.
- 6.3.2.b(3) Pre-award and Solicitation – All Procurement – Goods – AIT threshold clarified.
- 6.3.2.b(5) Pre-award and Solicitation – Goods – NOI threshold clarified.
- 6.3.2.c(4) Pre-award and Solicitation – Services and Construction – AIT threshold clarified.
- 6.3.2.c(5) Pre-award and Solicitation – Services and Construction – Threshold requirements clarified.
- 6.3.2.c(7) Pre-award and Solicitation – Services and Construction – NOI threshold clarified.
- 6.3.3.a Contract Award – All Procurement – The sub heading (a) has been changed to Direct Awards and limited to this topic. Policy 2 has been added to be consistent with Chapter 4 regarding Transfers Under Agreement.
- 6.3.3.b Contract Award – All Procurement – Sub heading (b) now covers the Selection and Award policies that were previously listed in 6.3.3.a.
- 6.3.3.b, 6.3.3.c, 6.3.3.d Contract Award – All Procurement – Sub headings have been changed as a result of splitting the first policy area into two.
- 6.3.3.e(11) Administration – Final paragraph split to highlight information requirements.
- 6.3.3.e(12) Administration – Deleted.
- 6.3.5.a Information Management and Information Technology (IM/IT) Procurement – References to Common Information Technology Services changed to Workplace Technology Services.
- 6.3.5.a (7), (8) Information Management and Information Technology (IM/IT) Procurement – AIT threshold clarified.
October - Policy 19. Corporate Compliance & Controls Monitoring
- The new Chapter 19 (Corporate Compliance and Controls Monitoring) consolidates existing payment review policy into a single document providing a greater clarification of the current mandate of the payment review program and its responsibilities and functions with regards to continuous compliance and controls monitoring. Coincidentally, the branch name Payment Review Office has been changed to Corporate Compliance and Controls Monitoring Branch.
June - Policy 6. Procurement, Policy 8. Asset Management
- 6.3.4.d(4) Disposal of Surplus Assets – Policy 4 added providing that the disposal of an asset/medium with information storage capacity must be done in a manner to protect the privacy and security of the stored information.
- 8.2 Government asset is clarified to comprise tangible capital assets and property, inventory, financial assets, and other non-capital items that include a multitude of portable device technologies with information capacity and the information that is held on such devices/media.
- 8.3.2 The section is revised to emphasize the internal controls for protecting the information that is stored on a portable device/medium, the disposal of these assets with information capacity, and to underscore the safeguarding of information as asset and the devices with storage capacity irrespective of the physical asset's financial value.
- 8.3.3 The section is revised to draw attention to the requirement for the immediate reporting of a loss of sensitive, confidential information or the loss of a portable storage device or a hand-held device containing such information.
March - Policy 6. Procurement
- 6.3.1 Procurement Planning – Policy 5 is revised to clarify that a cost / benefit justification is not required when entering into a contract for the continuation of a service. Rather, the ministry may rely upon the cost / benefit justification provided for the original service contract, if it is still relevant. If not, the ministry must either update it as necessary or provide a new cost / benefit justification. This policy does not apply to contracts awarded through an option to renew clause.
- 6.3.2.a Pre-award and Solicitation – All Procurement – Employee household relocation services are added to, and regional and economic development services are removed from, the chart of CSAs.
- 6.3.2.b Pre-award and Solicitation – Goods – Policy 5 is revised to clarify the purpose of a Notice of Intent in goods procurement. A link to a Notice of Intent information page has been added.
- 6.3.2.c Pre-award and Solicitation – Services and Construction – Policy 7 is revised to clarify the purpose and use of a Notice of Intent in services and construction procurement. A link to a Notice of Intent information page has been added.
- 6.3.3.a Contract Award – All Procurement – The word "only" is removed from Policy 1 to clarify the conditions under which a direct award may be made.
- 6.3.3.e Contract Award – Administration – Policy 11 is revised to indicate that a Privacy Protection Schedule is not required as an attachment to a contract involving personal information if it is not intended that the public body will own or control the personal information.
November - Policy 4. Expense Management
4.3.14 is amended as follows:
- added guidelines on transfer payment classification and accounting; and
- clarification of:
- payment standards for a transfer payment;
- documentation and payment management, including
- written documentation in support of a payment;
- general payment management principles, and the undertaking of measures to conduct due diligence on a prospective recipient;
- when a competitive selection of a service provider is required;
- maintenance of records, systems and monitoring; and
- the completion of an independent and objective recipient performance review; and
- the general criteria for the repayment of a transfer payment
October - Policy 6. Procurement
- 6.3.1 Procurement Planning – Policy 5 revised to clarify that a cost / benefit justification is required for service contracts over $100,000, including, where appropriate, a cost comparison of contracting out with the cost of providing the service in-house, if the resources were available.
- 6.3.2.a Pre-award and Solicitation – All Procurement – Chart of CSAs updated to reflect new ministry names, eliminate obsolete CSA references and to add website links where required to identify sources of information pertaining to the services of Common Business Services.
- 6.3.2.a Pre-award and Solicitation – All Procurement – Policy 7 clarified regarding provision of information to potential bidders or proponents for standard competitive processes.
- 6.3.2.c Pre-award and Solicitation – Services and Construction – Policy 3 added to clarify that all JSRFPs must be planned and managed through Common Business Services.
- 6.3.2.c Pre-award and Solicitation – Services and Construction – Policy 6 is revised to clarify that service contracts under $25,000 may be directly awarded if it can be documented, on the contract file, that undertaking a competitive process would not be reasonable or cost effective.
- 6.3.3.a Contract Award – All Procurement – Policy 1 is revised to clarify that a direct award may be made if it can be strictly proven that only one contractor is qualified or available to provide the good, service or construction.
- 6.3.3.a Contract Award – All Procurement – Policy 1 is revised to indicated that the rationale for any direct award must be documented, in the contract file, when one or more of the direct award exceptions is used. This documentation must be appended to the contract file and be available when requested.
- 6.3.3.e Contract Award – Administration – Policy 4 is amended to reflect the requirement to use the new General Service Agreement form rather than the previous Service Contract (General) form.
- 6.4.1 Common Business Services – Amended to reflect the revised list of services provided by Common Business Services.
June - Policy 11. Transportation
- 11.3.2 Privately Owned Vehicles – Policy 4 provides for voluntary use of a bicycle under the following conditions:
- Employee wears an approved bicycle helmet and has taken a safety course;
- Bicycle is in good working order and employee has insurance covering loss of bicycle while on government business; and
- Commuting time is comparable to other modes of transportation.
- 11.3.3 Government Vehicles – Policy 11 provides ministries the option of purchasing bicycles where the number of employees choosing to cycle warrants the costs of ownership and administration. The following conditions apply:
- Employee wears an approved bicycle helmet and has taken a safety course;
- Regular bicycle maintenance is provided by a private bicycle shop; and
- Ministry-provided bicycles are securely stored at all times.
January - Policy 6. Procurement
- 6.3.1 Procurement Planning – Policy 13 is added as a result of the recent Cabinet approval of the Climate Change Action Plan.
- 6.3.2.a Pre-award and Solicitation – All Procurement – Policy 1 is revised to add Mail Processing Equipment to the list of corporate supply arrangements and to correct various organization and ministry names.
- 6.3.3.a Contract Award – All Procurement – Policy 11 is added to provide for due diligence on prospective contractors where practical and depending on the size of the contract.
- 6.3.3.d Contract Award – All Procurement – Policy 11 is revised to deal with the changes to the FOIPPA legislation.
July - Policy 4. Expense Management
- 4.3.1 Delegation of Authority – the Common Expense Authority Matrix referenced in Policy 6 is updated to support refund payments by inclusion of Revenue Stobs 4000 - 4999.
- 4.3.2 Expenditure Authorization – Policy 3 is revised to clarify that Expense Authorities and Qualified Receivers must be government employees and not contractors. An exception to policy for an extraordinary operational requirement needs approval by the Office of the Comptroller General.
- 4.3.20 Obligation to Report to the Comptroller General – outlines the obligation for public servants to report inappropriate expenditures or payments, as required by the Financial Administration Act, section 33.2.
- 4.3.21 Authority of the Comptroller General – outlines the Comptroller General's authority regarding information received under section 33.2 or by other means.
November - Policy 4. Expense Management, Glossary
- 4.3 has been updated to support the business models identified for direct invoices and to maintain the financial control framework with iProcurement implementation. The significant changes are as follows:
- 4.3.2 Expenditure Authorization – Qualified Receiver (QR) section:
- Policy 1 is expanded for the QR requirement to sign a direct invoice for goods/services received.
- 4.3.3 Expenditure Processing and Payment Review – Payment section:
- Policy 1 is expanded for the Expense Authority requirement to approve the payment requisition for a direct invoice before the payment can be made.
- Policy 2 has been added and is outlined in a revised 4.3.6, below.
- Policy 3 has been added for the use of Force Approval to release a payment for a direct invoice in an exceptional circumstance or an emergency situation, and when the use of Force Approval is pre-approved, restricted and controlled.
- 4.3.6 Third Party Programs:
- Policy 1 added for use of Force Approval to release entitlement payments for direct invoices related to client purchases authorized by legislation and where program expenditure authorization is consistent with core policy (CPPM 4.3.2). The use of Force Approval for the payments must be pre-approved, restricted and controlled.
New definitions for terms introduced:
- Direct Invoice – a vendor invoice for goods or services without a related purchase instrument (i.e., a purchase order or contract)
- Force Approval – a CAS Oracle profile that permits release of payment for a direct invoice under certain conditions
March - Policy 6. Procurement, Policy 10. Travel, Policy 11. Transportation, Policy 18. Administration
- All reference to "common supply arrangements" and MSOs changed to "corporate supply arrangements" for consistency and clarity.
- 6.3.2.a Pre-award and Solicitation – All Procurement – Policy 1 is revised to add Office Products and Stationery to the list of corporate supply arrangements.
- 6.3.2.a Pre-award and Solicitation – All Procurement – Policy 11 is revised to clarify the appropriate level of contract approval.
- 6.3.2.a Pre-award and Solicitation – All Procurement – Policies 13, 14, and 15 are added to replace the policy regarding the establishment and use of pre-qualification lists. Deletion of previous pre-qualification list policy statements in sections 6.3.2.b(4), 6.3.2.c(3), and 6.3.3.a (10), (11). Procedural guidelines regarding use of pre-qualification lists are available from Common Business Services.
- 6.3.2.b Pre-award and Solicitation – Goods – Policy 5 is revised to clarify that a NOI is not required if it is determined that a direct award meets one or more of the allowable exceptions specified in policy 6.3.3.a(1).
- 6.3.2.c Pre-award and Solicitation – Services – Policy 2 is added to clarify the requirement to use pre-existing corporate supply arrangements for services.
- 6.3.2.c Pre-award and Solicitation – Services – Policy 6 is revised to clarify that a NOI is not required if it is determined that a direct award meets one or more of the allowable exceptions specified in policy 6.3.3.a(1).
- 6.3.3.a Contract Award – All Procurement – Selection and Award – Policy 2 moved to 6.3.2.a Policy 12.
- 10.2 Travel General – delegation of authorities guidance is added to this section to define director and to identify travel approvers. Approval levels have been moderated by Treasury Board Directive 4/04 as follows:
- 10.3.2 Travel Approval – Policy 1 is revised for directors now permitted to designate headquarters for their staff. The designation for directors and executive directors is by the assistant deputy minister of the program area. The executive financial officer must make designations for assistant deputy ministers.
- 10.3.4 Out of Province/Country Travel – Policy 1 is revised for directors now permitted to pre-approve this type of travel. Approvals for directors and executive directors is by the assistant deputy minister of the program area. The executive financial officer must make designations for assistant deputy ministers.
- 10.3.5 Airfare – Policy 1 is revised for directors now permitted to pre-approve exceptions to this policy. Approval of exceptions for directors and executive directors is by the assistant deputy minister of the program area. The executive financial officer must approve exceptions for assistant deputy ministers.
- 10.3.10 Accommodation – Policy 1 is revised. Exceeding established Treasury Board limits requires authorization by an individual's expense authority; guidance for this authorization is included.
- 10.3.7 Meals/Per Diems – Group I meal rates increase by $.25 per meal ($.75 for a full day) effective April 1, 2004. The Group II full day rate increases by $.75 effective April 1, 2004. There are no other meal or per diem changes taking effect in the fiscal year 2004/05.
- 10.3.8 Mileage – the rate increases by $.01 to $.45 per kilometre for Groups I, II and III effective April 1, 2004.
- 11.3.3 Government Vehicles – Policy 2 is updated to permit a director to authorize a vehicle assignment, as revised by Treasury Board Directive 4/04.
- 18.3.2 Agreements with Other Governments – Policy 1 is updated for Treasury Board Directive 5/04. Treasury Board approval is required only for new agreements over $2 million or where there is no set limit.
- 18.3.4 Business Meeting and Protocol Event Expenses – Policy 4 is updated for Treasury Board Directive 4/04. Expense authorities are now permitted to approve gratuities or tips over 15%.
November - Policy 4.3 Expense Authority, Policy 10.3.16 Travel Expense Receipts, Policy 18.3.3 Appointment Remuneration, Policy 18.3.8 Communications & Advertising
- 4.3 Expense Authority policy becomes effective when a ministry implements iProcurement. Key sections and notable changes are as follows:
- 4.3.1 – repeal of delegation requirements related to payment authority; introduction of the Common Expense Authority Matrix as the government standard for delegation of expense authority;
- 4.3.2 – establishment of the roles, responsibilities and requirements for Expense Authority and Qualified Receiver functions, including policy compliance and the proper exercise of expense authority; requirement to maintain a separation of duties over financial transactions whether electronic or manual systems are used;
- 4.3.3 – repeal of payment authority responsibilities; expenditure matching and processing requirements; conditions for payment release and payment review; and the Payment Review Office's requirements, including document and information requests, reviewing accuracy and compliance with policy and reporting results.
Payment authority policy remains in effect until ministry implementation of iProcurement; other sections (4.3.7 to 4.3.19) are in effect regardless of iProcurement implementation.
- 10.3.16 Policy 2 is revised to clarify that travel expense receipts must be:·
- filed at the location designated by the ministry senior financial officer (but not by the employee personally); and
- filed in an Expense Report Envelope and forwarded upon request within five working days to the Payment Review Office for verification.
- In addition, the Expense Report Envelope must be retained as an Administrative Records Classification System (ARCS) file #1050-09.
- 18.3.3 Policy 1 is revised and Policy 2 added for two new Treasury Board Directives that govern remuneration of appointees, as follows:
- Directive 2/04 for Administrative Tribunals;
- Directive 1/04 for Crown Corporations, Agencies, Boards and Commissions.
- 18.3.8.a former Policy 1, a requirement to submit promotional materials and paid advertising as part of the budget process, has been repealed.
September - Policy 6. Part I: Procurement, Part II: Vendor Complaint Review Process
- 6.3.2.b Policy 1 streamlines procurement policy to support procurement shared services by replacing the current thresholds at which Common Business Services (CBS), Ministry of Labour and Citizen's Services, must be used to acquire goods or services with a negotiation process between each ministry and CBS to determine where CBS can add value to the procurement processes required by the ministry for its business needs. The thresholds remain as a default, but are overridden where a negotiated agreement is achieved. (See also 6.3.2.c Policy 1 and 6.3.5.a Policy 9. Note section 6.3.3.c Purchase Authority Delegation – Goods is deleted.)
- 6.3.4.d Policy 3 establishes a requirement for ministries to inform CBS when they are undertaking a disposal of assets or intellectual property under their legislative authority or as a result of Treasury Board Directive or Order. (See also 6.3.4.f Policy 2.)
- 6.3.4.e Policy 1 establishes the responsibility of Deputy Ministers to ensure their employees are aware of the provisions of the Copyright Act that pertain to making copies of works.
- 6.3.4.f Policy 10 establishes the authority of CBS to allocate revenue from the disposal of intellectual property to a ministry.
- Part II establishes a Vendor Complaint Review Process (VCRP) to ensure an impartial hearing of vendor complaints concerning government's procurement activities in a consistent, fair and timely manner, and to identify ways to make improvements in the procurement process. Ministries are responsible for their procurement activities, and also have prime responsibility for reviewing complaints. The Procurement Governance Office (PGO), as a governance body independent of the procurement processes, will provide overall management of the VCRP, and review complaints not satisfactorily concluded at the ministry level.