Youth Justice Fund: Terms and Conditions – Contributions

The following terms and conditions will apply to contributions to be made under the Youth Justice Fund of the Department of Justice Canada, which will subsequently be referred to as the "Fund". The Fund has been established to support the Youth Justice Initiative, "the Initiative". These terms and conditions are drafted in accordance with Treasury Board’s Directive on Transfer Payments (October 2008) Appendix E: Terms and Conditions for Contributions and Appendix G: Funding Agreement Provisions for Contributions.

1.  Program/Legislative Authorities

The Department of Justice Act provides to the Minister the legislative authority to manage programs relevant to the administration of justice. The Department received Cabinet authority to establish the Fund in March 1999 and Treasury Board authority in June 1999. The Fund supports the Youth Criminal Justice Act.

2. Description, Purpose and Objectives of the Youth Justice Initiative and Fund

2.1 Description and Purpose

The Youth Justice Initiative is a multi-faceted approach that includes a legislative framework (Youth Criminal Justice Act), and programming resources that:

• encourage a fairer and more effective youth justice system;
• respond to emerging youth justice issues; and
• enable greater citizen/community participation in the youth justice system

through partnerships, encouraging innovations, developing and sharing information and knowledge about youth justice. Community and Aboriginal organizations as well as individuals have been and will continue to be eligible for funding to help develop community-based programming options and partnerships that respond more effectively and in a more meaningful manner to youth in conflict with the law. Funding support is also used to advance changes in provincial/territorial policies and programs that are consistent with the intent of federal policy objectives.

2.2 Objectives

Within this context, the objectives of the Youth Justice Fund are as follows:

• Establish special measures for violent offenders;
• Improve the system’s ability to rehabilitate and reintegrate young offenders;
• Increase the use of measures, outside the formal court process, that are often more effective in addressing some types of less serious offending; and
• Establish a more targeted approach to the use of custody for young people;
• Increase the use of community-based sentences for less serious offending.

2.3 How the Youth Justice Fund will further departmental and government objectives:

The Youth Justice Fund is linked to departmental policy priorities and program activities regarding policies, laws and programs. This departmental criminal justice activity contributes to the departmental strategic outcome of a fair, relevant and accessible justice system that reflects Canadian values.

2.4 The Youth Justice Fund is intended to contribute to the following Performance Measures and Indicators

Performance Indicator	Performance Measure
Collaboration by project partners on learnings and best practices	Examples of collaboration between project partners; for example, joint projects between traditional and non-traditional partners; workshops or conferences on best practices or lessons learned
Additional or enhanced rehabilitative and reintegration opportunities developed and implemented by the youth justice system	Number and scope of additional or enhanced rehabilitative and reintegration opportunities that have been developed and are being implemented
New and effective measures outside the formal court process developed and implemented by the youth justice system	Number and scope of new and enhanced alternative approaches to justice that have been developed implemented in P/Ts
Funded projects reach targeted groups	Number and types of groups reached through YJF funded projects
Additional or enhanced programs aimed at preventing youth involvement in guns, gangs and drugs are being developed and used by the youth justice system	Number and scope of additional or enhanced programs aimed at preventing youth involvement in guns, gangs and drugs that have been implemented and are being used
Development and implementation of innovative and collaborative approaches to the treatment and rehabilitation of youth with illicit substance abuse issues involved in the criminal justice system.	(a) Number of drug treatment options developed and implemented for youth involved in the youth justice system. (b) Number of activities undertaken to share knowledge of the piloted drug treatment programs and promising practices with provinces and territories as well as other interested stakeholders.

3. Classes of Eligible Recipients

Any of the following may be eligible for contribution funding:

• non-profit community organizations, societies, and associations which have voluntarily associated themselves for a non-profit purpose;
• Canadian institutions/boards of education;
• bands, First Nations, Tribal Councils, local, regional and national Aboriginal organizations;
• Provincial, territorial and municipal governments and their agencies and institutions;
• Private sector organizations as long as such organizations will not make a profit on the work performed;
• For-profit enterprises, research/evaluation organizations and individuals are eligible for funding to conduct research and evaluation activities; and,
• Individuals.

Other for-profit activities and federal Crown Corporations are not eligible for funding under the Fund.

4. Nature and Type of Projects/Activities

Funding may be provided for any of the following:

• projects that address pressures or emerging priorities with respect to youth in conflict with the law and to respond to them in a manner that is consistent with the intent of the legislative framework and advances federal policy objectives;
• projects and activities that help to identify, understand, and provide innovative responses to youth justice system challenges at key decision points in the youth justice process;
• projects that enable greater citizen/community participation in the youth justice system, encourage partnerships among traditional and non-traditional youth justice partners or encourage collaborative responses to youth justice needs; and
• public legal education and information (PLEI) activities designed to provide accurate information to debunk myths or correct misperceptions or share information about effective approaches in dealing with youth in conflict with the law.

Efforts may pay particular attention to specific youth justice issues such as gang involved youth, violent offenders, youth with illicit substance abuse issues, and youth in conflict with the law with unique needs, for example, Aboriginal youth, youth in care, youth with mental health issues, and youth with Fetal Alcohol Spectrum Disorder. 

Activities eligible for funding support may include the following:

1. Development, implementation, testing and evaluation of demonstration/pilot projects that:
   • focus on the key stages in the youth justice process, such as extrajudicial measures, pre-trial detention, sentencing and rehabilitation and reintegration;
   • facilitate community involvement and programming at any stage of the youth justice system; and/or
   • expand the range of non-traditional partners involved in the youth justice system and encourage collaboration between traditional and non-traditional youth justice partners.
2. Provision of seed money to community-based programs recognized by youth justice stakeholders as having the capacity to provide innovative and valued programs and services for youth in conflict with the law.
3. Training/educational activities for professionals and service providers:
   • involved in the delivery of youth justice services on evolving case law or emerging issues (e.g., gang involved youth, violent offenders, fetal alcohol spectrum disorder, gender specific issues); and/or
   • working outside of the youth justice system, to assist them in working more effectively with youth in conflict with the law.
4. Programs, services and activities designed to:
   • reduce the over-representation of Aboriginal youth in the justice system;
   • respond to youth in the youth justice system with mental health issues including FASD; and/or
   • respond to gang involved youth and violent offenders.
5. The organization and hosting of meetings to:
   • create awareness of youth justice activities in a community, identify community needs with respect to youth justice services and/or build support for a community-based youth justice initiative;
   • examine how services can be better co-ordinated for youth in conflict with the law;
   • encourage the sharing of information on programs and services, including best practices and lessons learned; and/or
   • develop cross-sectoral solutions that are in keeping with the underlying principles of the Initiative.
6. Public legal education initiatives such as:
   • multi-media products (e.g., videos, posters, pamphlets, fact sheets, websites; including adaptation/translation of existing youth justice materials to new audiences);
   • information sessions or toll-free information lines;
   • youth justice curricula, mock trials and other learning tools; and/or
   • evaluation activities to determine the effectiveness of such initiatives.
7. Evaluation activities to determine whether programs/activities are effective in dealing with youth in conflict with the law and/or relevant for other regions or jurisdictions.
8. Research activities which contribute to policy development by:
   • Synthesizing the results of existing research, contributing to a growing awareness and recognition of promising practices and models for on-going or emerging youth justice issues; and/or
   • identifying and analyzing gaps in the current body of knowledge relating to youth justice in Canada and creating new knowledge in areas where gaps have been identified.
9. Other appropriate and innovative responses that advance the goals of federal youth justice policy objectives.

5. Eligible Expenditures

Funds may be used only for expenses directly related to the activities of the project identified in either the original budgetary submission or a subsequent budget approved by the Department of Justice.
Eligible expenses include expenditures such as:

• Salaries and wages for permanent or temporary professional, program, management, clerical, accounting, technical, and administrative staff including contributions to the Unemployment Insurance Commission, the Canada Pension Plan, the Workers' Compensation Board, the Provincial Pension Plan or other Employee Benefit Plans;
• Fees for the purchase of technical and specialized services including but not limited to translation, web/video production, training, audit and evaluation services;
• Legal fees and disbursements directly related to the project;
• Professional development for staff including registration fees;
• Liability insurance;
• Honoraria for Elders;
• Participation incentives for youth and volunteers to participate in activities such as programming, workshops, research and evaluation;
• Office and facility rent, insurance, normal utilities such as electricity, heat, water and telephone, and taxes;
• Supplies and materials, shipping charges, stationery, postage, printing, and licenses;
• Office equipment and furnishings, minor capital acquisitions - including computers - (less than $10,000 per item) and equipment rental;
• Program supplies, resource materials, transportation costs, bus tickets, event entrance fees, and participant refreshments.
•  Culturally appropriate expenditures including, but not limited to community feasts, ceremonial meals, ceremonies, sweat lodge rental, and tobacco for Elders;
• Travel, mileage, accommodations, meals and incidentals associated with traveling as it relates to the project activities;
• Advertising expenses related to the availability of youth justice program/project and project-related employment opportunities;
• Research (as a component of a project or as a stand-alone research project); and,
• Evaluation (as a component of a project or as a stand-alone evaluation project).

The following expenses are ineligible:

• costs incurred prior to the start date of the agreement.
• capital costs such as buildings, land, vehicles and most other major capital costs (more than $10,000 per item).

Administrative fees/costs should be limited to no more than 15% of the total project cost. Administrative costs are defined as those not directly related to delivering the project and would include items such as telephone expenses, office supplies; postage, utilities, accounting services and management’s time allocated to overseeing the project. 

6. Maximum level of all government assistance (Stacking limit)

When reviewing proposals, Departmental officials will verify that contributions made under the Fund will not cover expenses already covered through another funding program or strategy. When applying for funding, applicants will be required to indicate what, if any, government funds a project is expected to receive.

Total government (federal/provincial/territorial/municipal) assistance for projects funded under the Fund could be up to 100 percent of total eligible costs.

For contributions in excess of $100,000, the Recipient will be required to declare any and all anticipated sources of proposed funding for the project before its commencement. In addition, the Recipient of contributions in excess of $100,000 will be required to declare all sources of project funding received upon completion of the project.

The Fund will ensure that the transfer payment assistance provided respects these stacking limits and that the federal contribution is based on the total government assistance received (federal, provincial/territorial, and municipal assistance for the same purpose and eligible expenses). This includes assistance such as all grants, contribution and any other assistance including non-monetary/in-kind contributions being considered; all new investments in the applicant business; provisions for potential losses on loan guarantees and loans; implicit subsidies; forgivable loans; investment tax credits; and other grant or contribution for which the applicant may be eligible.

The repayment of any contribution exceeding the total government assistance limit will be calculated on a pro-rated based (based on total government assistance received towards the same eligible expenses).

7. Methods to Determine the Amount of a Contribution

Applications to the Youth Justice Fund shall be reviewed by a committee composed of representatives of the Youth Justice and Strategic Initiatives & Law Reform Section of the Department of Justice Canada. Additional expertise will be sought as required.

In determining the appropriate level of funding to a project, the Department will be guided by the following principles:

• Fit of project objectives with mandate and policy direction of the Initiative and the Fund; and
• Ratio of youth in conflict with the law versus other youth being served by the project.

8. Maximum amount of contributions

An individual contribution will not exceed $500,000 per year, per project.
A Recipient may receive funding for more than one contribution in any given year, so long as the funding is provided for different activities and there is no duplication of expenses associated with the project. 

Total funding (grants and contributions) shall not exceed $1,000,000 per year for provincial, territorial and municipal government Recipients. All other Recipients will each be limited to a maximum level of funding (grants and contributions) in the amount of $500,000 per year.

9. Basis of Payment

Where it is essential to the achievement of the project, the Department may approve the payment of an advance payment of its share of the eligible expenditures based on a cashflow submitted by the Recipient. Subsequent advances will take into consideration any outstanding advances. In other cases, the Department will make progress payments to reimburse Recipients for expenditures based on a claim submitted by the Recipient.

The departmental Project Risk Assessment Tool for Discretionary G’s and C’s will be used to guide method of funding and reporting requirements. Recipients may be required to submit at least one interim and a final accounting of the use of contribution funds and a statement of progress, except for small agreements (less than $50,000) or those of short duration (less than six months) where only a final report will normally be required. For agreements with provincial/territorial governments at least one progress report will be required.

Final payment of the hold back, not exceeding 20% of the total contribution, will be made when the Recipient has satisfied the reporting requirements of the project funding agreement and on receipt and acceptance by the Department of financial statements and project report. The level of the holdback will be based on previous funding experience with the Recipient, the type and size of the project and the anticipated financial impact on the Recipient. The holdback will not be less than 5% of the total contribution.

10. Application and Assessment

Final applications for funding should include:

• name, address, telephone, facsimile number and e-mail address of the applicant's authorized representative;
• identification of need(s) or problem(s) to be addressed, expected impact(s) of the project/program on the beneficiary(ies), as well as links to governmental and departmental mandates and to the objectives of the Fund;
• detailed project description including project title, goals and objectives of the proposed activity/project, identification of the target groups for the proposed activity/project, identification of the anticipated specific impacts, identification of the group who will ultimately benefit (beneficiary) from the project/activity, description of the project team and partners, and the expected results (service or product);
• time frame, work plan detailing activities to be undertaken to support the attainment of project objectives and monitoring activities;
• detailed budget of the project including: amount being requested from the Department, other proposed sources of revenue including in-kind support and a detailed list of expenditures;
• an indication of any partner support or community involvement (commitment, endorsement, scope and level of participation, co-operation and volunteer involvement);
• an indication of how project design is sensitive to diversity and gender equality issues as well as to the needs of official language minority communities;
• an indication of any provincial/territorial support for the project;
• project evaluation design (if applicable) including who will be responsible for monitoring and evaluation, the timetable, the reporting arrangements with applicable partners, methodology and the outcomes and performance indicators;
• disclosure of involvement of any former public servants who are under the Code of Values and Ethics for the Public Service; and
• any additional material deemed relevant by the Department.

New applicants to the Fund will also be required to provide:

• description of the applicant’s organizational structure including legal status (except where applicant is an individual);
• background information on organization including its mandate, objectives, programs, and experience as well as financial statements of the organization including sources of revenue (except where applicant is an individual);
• indication of any previous financial support received from the Department including the amount, and purpose of the funded activity.

Departmental officials will not be represented on an advisory board or committee established by the Recipient in relation to a grant or contribution except to act as a resource such as in the case of oversight, evaluation and monitoring activities.
On occasion, the negotiation of a funding agreement may be protracted, leading to significant delays in the initiation of project activities that potentially compromise the effective completion of the project. Where this occurs, the effective date and start date in the agreement will reflect the date that an agreement in principle was reached between the Department of Justice and the Recipient on the broad project activities and budget categories; and costs will be reimbursed as to the effective date. 

11. Reporting

The departmental Project Risk Assessment Tool for Discretionary G’s and C’s will be used to guide reporting requirements. Recipients of contributions may be required to submit interim financial statements and any other additional supporting documentation required under the funding agreement at such intervals during the course of the agreement as may be agreed upon for review and acceptance by the Department.

11.1  Financial Reporting

Recipients will be required to submit project-specific audited financial claims and/or audited financial statements at the end of the funding agreement for review and acceptance by the Department. The Department may conduct reviews and audits of claims in accordance with federal governmental policy guidelines and directives related to transfer payments.

Where appropriate, Financial Reporting and Performance Monitoring and Reporting will respect jurisdictions and their responsibilities; and respect their accountability mechanisms to citizens.

11.2  Performance Monitoring and Reporting

The Department will ensure that Recipients of contributions clearly indicate whether they are meeting the project objectives and obtaining expected outcomes. Recipients will be required to submit detailed reports on various aspects of their projects so that the Department can assess the viability, impact and utility of specific projects. Where appropriate, an evaluation component will be incorporated in the work plans of funded projects and the Department will, as needed, conduct on-site visits to monitor their activities and progress.

12. Official Language Minority Communities

The Youth Justice Fund’s objectives are to be implemented within the broader context of the linguistic duality of Canada by supporting projects that will serve official language minority communities while being mindful of gender and diversity issues.

13. Duration of Terms and Conditions

The terms and conditions shall apply from April 1, 2010. Overall evaluations of the Fund will be performed within every five-year period, and amendments may be submitted for approval accordingly. 

14. Redistribution of Contributions by a Recipient

When contributions are to be further distributed by a Recipient to one or more persons or entities, the Recipient will have independence in the choice of those persons or entities, with minimal guidance from the department, and will not be acting as an agent of the government in making distributions.

15. Intellectual Property

Intellectual property created by a Recipient under a transfer payment normally remains with the Recipient. A standard clause will continue to be included in the contribution agreement, which provides the Minister with a royalty-free, permanent and exclusive license to produce, reproduce or publish, in any way, the original work or an adaptation, in any language, for use within the federal public service and for non-commercial distribution. In the event that shared rights are negotiated with the Recipient, the understanding will be articulated in the transfer payment agreement.

16. Transfer Payments to Aboriginal Recipients

The Fund will consider fixed, flexible or block contribution funding to Aboriginal Recipients where applicable, as described in Appendix K of the Policy on Transfer Payments (2008).