DPR 2004-2005
Canadian Nuclear Safety Commission

Section III - Supplementary Information

The Canadian Nuclear Safety Commission - Operating Context

The CNSC Strategic Framework

The CNSC Strategic Framework uses this logic model for planning, for focusing activities and programs, for evaluating the contribution of initiatives to the CNSC outcomes and for illustrating the role of the CNSC as an agency committed to achieving results for Canadians.

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Governance at the CNSC

The Commission is an independent, quasi-judicial administrative tribunal and court of record, and is separate from CNSC staff. Both the staff organization and the Commission operate in a transparent manner. The CNSC is known as one of the most open and transparent nuclear regulators in the world.

The CNSC’s governance includes a clear vision with articulated outcomes, a focused mission and mandate, strong leadership as well as strong and professional corporate services providing information and internal controls that enable good stewardship of resources.

Integrated planning and performance management is an important aspect of the CNSC’s governance. It promotes vigorous and responsible management of resources with an emphasis on results. The CNSC defines desired results, delivers regulatory programs and activities, evaluates performance and makes necessary adjustments. The CNSC conducts mid-year and year-end corporate reviews of results achieved against plans and reallocates resources to the highest priorities. In addition, regulatory activities are reviewed and monitored quarterly.

Performance agreements that are specific, results-based, and clearly identify accountability continued to be in place in 2004-2005 for the top two levels of management. The next level of management will prepare 2005-2006 performance contracts. Performance agreements include Modern Management, Workforce Sustainability as well as commitments under the business planning and budgeting process.

A high level of oversight and scrutiny is provided by an independent internal audit program, complemented by regular audits by the Office of the Auditor General (financial and performance) and other officers of Parliament including the Canadian Human Rights Commission (employer obligations under the Employment Equity Act ) and the Privacy Commissioner of Canada ( Privacy Act ). The CNSC also abides by a “Conflict of Interest and Post-Employment Code for the CNSC”, modeled on the Values and Ethics Code for the Public Service.

Organizational Information

The CNSC operates as two separate organizations as follows:

1. a Commission of up to seven members; and
2. a staff organization of approximately 530 people.

i. Commission

The Nuclear Safety and Control Act (NSCA) provides for the appointment of up to seven Commission members by the Governor in Council. Members serve for a term not exceeding five years. One member of the Commission is designated as the President of the Commission. This position is held by Linda J. Keen.

Supported by the Secretariat, the Commission functions as an independent, quasi-judicial administrative tribunal and court of record. It sets regulatory policy direction on matters relating to health, safety, security and environmental issues affecting the Canadian nuclear industry. It makes independent decisions on the licensing of nuclear-related activities in Canada, and establishes legally-binding regulations. The Commission takes into account the views, concerns and opinions of interested parties and intervenors. The Commission delegates to Designated Officers the authority to render licensing decisions for certain categories of nuclear facilities and activities in accordance with the requirements of the NSCA and its associated regulations. The Commission retains for its own consideration licensing matters related to major nuclear facilities, for which it holds public hearings, in accordance with the CNSC Rules of Procedure .

ii. CNSC Staff

CNSC staff are located at a headquarters in Ottawa, site offices at each of the five nuclear power plants in Canada, and five regional offices. CNSC staff are located at each nuclear power plant in Canada to assess performance against regulations and specific conditions of operating licences. Regional offices conduct compliance activities for nuclear substances, transportation, radiation devices and equipment containing nuclear substances. They also respond to unusual events involving nuclear substances.

CNSC staff support the Commission by:

• developing regulatory frameworks;
• carrying out licensing, certification, compliance inspections and enforcement actions;
• coordinating the CNSC’s international undertakings;
• developing CNSC-wide programs in support of regulatory effectiveness;
• maintaining relations with stakeholders; and
• providing administrative support.

In addition, staff prepare recommendations on licensing decisions, present them to the Commission for consideration during public hearings and subsequently administer the Commission’s decisions. Where so designated, staff also render licensing decisions.

Organizational Chart

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Financial Summary Overview

The following summary tables represent an overview of the CNSC’s financial performance for 2004-2005. Financial information presented in most tables includes four figures:

• “Main Estimates” represent the reference level in CNSC’s 2005-2006 Main Estimates
• “Planned Spending” represent the CNSC’s appropriations on April 1, 2004 plus any anticipated funding adjustment;
• “Total Authorities” includes planned spending plus additional spending approved by Parliament during the fiscal year; and
• “Actual Spending” represents the actual expenditures incurred by the CNSC for the fiscal year and publish in the Public Accounts of Canada for 2004-2005.

In 2004-2005, the CNSC’s planned spending of $70.6 million consisted of an operating budget of $70.0 million (includes statutory employee benefits of $8.4 million) and a transfer payment budget (Grants and Contributions) of $0.6 million. The transfer payments budget consisted of a $0.6 million contribution to the IAEA for the Canadian Safeguards Support Program and several smaller grants and contributions to other international and non-profit organizations.

In addition to the $70.6 million planned spending, the CNSC received additional supplementary funding of $5.0 million, for a total authority of $75.6 million. The supplementary funding includes the Generator ($2.0 million); the Operating Budget Carry Forward ($2.6 million); Cost Recovery Phase-In and other adjustments ($0.4 million).

In 2004-2005, the CNSC recovered $48.8 million in non-respendable revenues, which represents approximately 60% of the $80.8 million of full cost of expenditures. Full cost includes services without charge, and all other expenditures as shown within the Statement of Operations of the Audited Financial Statements.

CNSC Tables

Table 1: Comparison of Planned Spending and Actual (incl. FTE)
Table 2: Use of Resources by Business Lines (or Program Activities)
Table 3: Voted and Statutory Items
Table 4: Net Cost of Department
Table 5: Contingent Liabilities
Table 6: Sources of Non-Respendable and Respendable Revenue
Table 7-A: 2004-05 User Fee Reporting Template – User Fees Act
Table 7-B: 2004–05 User Fee Reporting Template – Policy on Service Standards for External Fees
Table 8: Major Regulatory Initiatives
Table 9: Financial Statements of Departmental Corporations and Agents of Parliament
Table 10: Response to Parliamentary Committees, Audits and Evaluations for FY2004–2005
Table 11: Travel Policies

Table 1: Comparison of Planned Spending and Actual (incl. FTE)

Table 2: Use of Resources by Business Lines (or Program Activities)

Table 3: Voted and Statutory Items

Table 4: Net Cost of Department

Table 5: Contingent Liabilities

Claims have been made against the CNSC in the normal course of operations. Legal proceedings for claims totaling approximately $55,250,000 were still pending at March 31, 2005. The final outcome is presently not determinable and, accordingly, no provision has been recorded in the accounts for these contingent liabilities. Settlements, if any, resulting from the resolution of these claims will be accounted for in the year in which the liability is considered likely and the cost can be reasonably estimated.

Table 6: Sources of Non-Respendable and Respendable Revenue

Non-Respendable Revenue

Respendable Revenue - Not applicable

Table 7-A: 2004-05 User Fee Reporting Template - User Fees Act

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Table 7-B: 2004-2005 User Fee Reporting Template - Policy on Service Standards for External Fees

Table 8: Major Regulatory Initiatives

Table 9: Financial Statements of Departmental Corporations and Agents of Parliament

See Audited Financial Statements .

Table 10: Response to Parliamentary Committees, Audits and Evaluations for FY 2004-2005

Table 11: Travel Policies