Publication

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

1. Introduction

This quarterly report has been prepared by management as required by section 65.1 of the Financial Administration Act and in the form and manner prescribed by the Treasury Board Directive on Accounting Standards. This report should be read in conjunction with the 2026‑27 Main Estimates.

The mandate of the Canadian Intergovernmental Conference Secretariat (CICS) is to support federal, provincial and territorial governments in the planning and conduct of senior level intergovernmental conferences held across Canada. The primary objective of CICS is to relieve client departments of the numerous technical and logistical tasks associated with the planning and conduct of multilateral conferences, thereby enabling participants to concentrate on substantive intergovernmental policy issues. CICS provides continuous, effective and impartial logistical support to these meetings.

The quarterly report has not been subject to an external audit or review.

Basis of Presentation

This quarterly report has been prepared by management using an expenditure basis of accounting. The accompanying Statement of Authorities includes the department’s spending authorities granted by Parliament and those used by the department consistent with the 2026‑27 Main Estimates. This quarterly report has been prepared using a special purpose financial reporting framework designed to meet financial information needs with respect to the use of spending authorities.

The authority of Parliament is required before money can be spent by the Government. Approvals are given in the form of annually approved limits through appropriation acts or through legislation in the form of statutory spending authority for specific purposes.

As part of the departmental performance reporting process, CICS prepares its annual departmental financial statements on a full accrual basis in accordance with Treasury Board accounting policies, which are based on Canadian Generally Accepted Accounting Principles for the public sector. However, the spending authorities voted by Parliament remain on an expenditure basis.

2. Highlights of fiscal quarter and fiscal year to date (YTD) results

Operating expenses from the beginning of the year through June 30, 2026, increased (a rise of $209,000 compared to the same period in 2025‑26). This increase is primarily attributable to the hosting of 18 additional conferences compared to the same period in the prior fiscal year. This increase in activity volume led to a corresponding rise in expenses related to professional and specialized services, transportation, and rentals. To date, CICS has hosted 21 in-person conferences and 35 videoconferences, compared to 10 in-person conferences and 28 videoconferences during the same period in 2025‑26.

2.1 Statement of Authorities

CICS’ authorities for 2026‑27 as of the first quarter are approximately $1.5 million less than in the previous fiscal year. This decrease is due to the expiration of the temporary supplemental funding granted for the three-year period from 2023 to 2025, resulting in a reduction of approximately $62,000 in voted appropriations and approximately $1.4 million in statutory appropriations.

2.2 Statement of Department Budgetary Expenditures by Standard Object

From the beginning of the year through June 30, 2026, operating expenditures totaled $1.5 million, which is approximately $209,000 more than for the same period in 2025‑26. This increase is largely attributable to the following factors:

• Personnel: an increase of $48,000 in salary costs primarily attributable to annual employee pay adjustments, as well as overtime payments related to the higher number of in-person conferences supported during the period.

• Professional and special services: an increase of $114,000, resulting primarily from a higher number of in-person conferences compared to the same period in the previous fiscal year.

• Transportation and Communications: An increase of $34,000, primarily attributable to higher expenses related to travel and the shipment of equipment to remote locations. This increase resulted from the higher number of in-person conferences held compared to the same period in the previous fiscal year.

• Rentals: An increase of $23,000 was observed in equipment rental costs (telephones, Wi-Fi services, interpretation, photocopiers, cabling, etc.), due primarily to the increase in the number of in-person conferences.

The remaining variance of $10,000 is attributable to a series of smaller increases and decreases across other expenditure categories, including Utilities, Materials and Supplies, Acquisition of Machinery and Equipment, as well as Other Subsidies and Payments.

3. Risks and Uncertainties

CICS does not convene intergovernmental meetings. It is called upon to respond to decisions taken by governments to meet on key national or specific issues. Decisions concerning the location of such meetings, their number in a given fiscal year, their timing and duration, are all factors beyond the control of the Secretariat. CICS continues to develop and use forecasting tools to estimate costs and plan for conferences as requests are received.

Workforce sustainability and financial capacity is now a key risk for the organization. Ongoing budget pressures and workforce attrition could result in the loss of critical corporate knowledge, staffing gaps, increased employee burnout, reduced responsiveness, and potential impacts on service delivery.

4. Significant changes in relation to operations, personnel, and program

During the first quarter of 2026‑27, CICS continued to experience an increase in both conference requests and conferences delivered, while operating with reduced funding. Although CICS successfully met the growing demand for its services during Q1, the organization has fewer resources and less capacity than in the previous year. As a result, maintaining the same volume of conference services delivered last year may prove challenging. CICS continues to keep its stakeholders informed of these capacity constraints and the potential impacts on service delivery.

STATEMENT OF AUTHORITIES (unaudited)

^*Includes only Authorities available for use and granted by Parliament at quarter-end.

Departmental budgetary expenditures by Standard Object (unaudited)