Financial Administration Act (R.S.C., 1985, c. F-11)

Marginal note:Definition of instruction for payment

• 35 (1) In this section and section 36, instruction for payment means an instrument or other instruction for the payment of money, but does not include a requisition under section 33.

• Marginal note:Form of payments out of C.R.F.

  (2) Every payment out of the Consolidated Revenue Fund shall be made under the direction and control of the Receiver General by the issuance of an instruction for payment, in such form and authenticated in such manner as the Treasury Board may direct.

• Marginal note:Claim for settlement

  (3) An amount set out in an instruction for payment issued under subsection (2), less any amount charged back as a result of a reconciliation pursuant to section 36, may be paid out of the Consolidated Revenue Fund where

  • (a) a claim for settlement of the amount is made by a member of the Canadian Payments Association or by a person authorized by the Receiver General to make a claim for settlement; and

  • (b) the claim is made in the prescribed manner and is accompanied by the prescribed evidence.

• Marginal note:Prescription of manner of claim

  (4) The Receiver General may prescribe the manner of making a claim for settlement and the evidence that must accompany the claim.

Marginal note:Reconciliation of claim with evidence and instruction for payment

• 36 (1) Where a payment out of the Consolidated Revenue Fund is made in respect of a claim for settlement, the Receiver General shall examine the claim and make a reconciliation between the claim and

  • (a) the supporting evidence; and

  • (b) the instruction for payment to which the claim relates.

• Marginal note:Destruction of instructions for payment, records, etc.

  (2) The Treasury Board may, on the recommendation of the Receiver General and with the approval of the Auditor General of Canada, make regulations governing

  • (a) the destruction of records of instructions for payment, including payment instruments, after the amounts specified in the instructions for payment have been paid;

  • (b) the destruction of claims for settlement; and

  • (c) the destruction of records of instructions for settlement, including instruments for settlement within or between departments, after settlement has been effected.

Marginal note:Lapse

37 The balance of an appropriation that remains unexpended at the end of a fiscal year or such longer period as may be specified in an appropriation Act or any other Act of Parliament, after adjustment for the recording of debts incurred and other amounts due or owing referred to in section 37.1, shall lapse.

Marginal note:Unpaid debts

• 37.1 (1) Subject to such directions as the Treasury Board may make, a debt incurred by Her Majesty for work performed, goods received or services rendered before the end of a fiscal year, and any amount due or owing under a contract, contribution or other similar arrangement entered into before the end of the fiscal year that remains unpaid at the end of the fiscal year, shall be recorded as a charge against the appropriation to which it relates.

• Marginal note:Payment

  (2) Subject to subsection (3), in such period as the Treasury Board may specify or, if no such period is specified, at any time, a payment may be made for the purpose of settling any debt or other amount due or owing that has been recorded as a charge against an appropriation pursuant to subsection (1).

• Marginal note:Settlement in excess of appropriation

  (3) The discharge or settlement of a debt or other amount due or owing that has been recorded as a charge against an appropriation pursuant to subsection (1), or any part thereof, and that was in excess of the balance then remaining in the appropriation

  • (a) constitutes a first charge against the next appropriation in the year of discharge or settlement; and

  • (b) operates to reduce the available spending authority of that next appropriation by the lesser of

    • (i) the amount of the discharge or settlement, and

    • (ii) the amount of the excess.

• Marginal note:Payment in excess of appropriation

  (4) Where, despite paragraph 33(3)(b), a payment is made that results in an expenditure that is in excess of an appropriation,

  • (a) the amount by which the expenditure exceeds the balance then remaining in the appropriation constitutes a first charge against the next appropriation of the immediately subsequent fiscal year; and

  • (b) the available spending authority of that next appropriation is reduced by that amount.

Marginal note:Accountable advances

• 38 (1) The Treasury Board may make regulations

  • (a) authorizing the making of accountable advances chargeable to the appropriation for the service in respect of which the advance is made; and

  • (b) providing for the repayment of, accounting for and recovery of accountable advances.

• Marginal note:Recovery

  (2) Any accountable advance or any portion thereof that is not repaid, accounted for or recovered in accordance with the regulations may be recovered out of any moneys payable by Her Majesty to the person to whom the advance was made or, where the person is deceased, out of any moneys payable by Her Majesty to the estate of that person.

• Marginal note:Report

  (3) Every accountable advance that is not repaid, accounted for or recovered by the end of the fiscal year in which it was made shall be reported in the Public Accounts for that year.

Marginal note:Crediting of refunds

39 Subject to such directions as the Treasury Board may make, any amount received as

• (a) a refund of an expenditure,

• (b) a repayment of an advance,

• (c) a refund or repayment of an overpayment,

• (d) a rebate, including a tax rebate or some other price adjustment on a payment,

• (e) a reimbursement pursuant to a cost-sharing arrangement,

• (f) a recovery from an indemnification, or

• (g) a recovery under a claim for loss of or damage to a Crown asset

shall be credited to the appropriation against which the related expenditure, advance or payment was charged.

PART III.1Contracts

Marginal note:Term of contract that money available

• 40 (1) It is a term of every contract providing for the payment of any money by Her Majesty that payment under that contract is subject to there being an appropriation for the particular service for the fiscal year in which any commitment under that contract would come in course of payment.

• Marginal note:Public opinion research

  (2) It is a term of every contract for public opinion research entered into by any person with Her Majesty that a written report will be provided by that person.

Marginal note:Commitment

40.1 The Government of Canada is committed to taking appropriate measures to promote fairness, openness and transparency in the bidding process for contracts with Her Majesty for the performance of work, the supply of goods or the rendering of services.

Marginal note:Regulations respecting conditions under which contracts awarded

• 41 (1) The Governor in Council may make regulations with respect to the conditions under which contracts may be entered into and, notwithstanding any other Act of Parliament,

  • (a) may direct that no contract by the terms of which payments are required in excess of such amount or amounts as the Governor in Council may prescribe shall be entered into or have any force or effect unless entry into the contract has been approved by the Governor in Council or the Treasury Board; and

  • (b) may make regulations with respect to the security to be given to and in the name of Her Majesty to secure the due performance of contracts.

• Marginal note:Exception

  (2) Subsection (1) does not apply in respect of Crown corporations, the Canada Revenue Agency or the Invest in Canada Hub.

Marginal note:Regulations — deemed terms of contracts

• 42 (1) The Governor in Council may make regulations fixing terms that are deemed to be expressly set out in contracts, or classes of contracts, that provide for the payment of any money by Her Majesty or a Crown corporation — or in documents, or classes of documents, relating to such contracts and their formation — including terms

  • (a) prohibiting payment of a contingency fee by any party to the contract to a person to whom the Lobbying Act applies;

  • (b) respecting corruption and collusion in the bidding process for contracts for the performance of work, the supply of goods or the rendering of services;

  • (c) requiring that a bidder on a contract for the performance of work, the supply of goods or the rendering of services make a declaration that the bidder has not committed an offence under section 121, 124 or 418 of the Criminal Code;

  • (d) respecting the provision of information or records to enable the Auditor General of Canada to inquire into the use of funds provided under funding agreements; and

  • (e) requiring the public disclosure of basic information on contracts entered into with Her Majesty for the performance of work, the supply of goods or the rendering of services and having a value in excess of $10,000.

• Marginal note:Powers of Auditor General

  (2) Regulations made under subsection (1) may not infringe on the powers of the Auditor General under section 7.1 of the Auditor General Act.

• Marginal note:Regulations — public opinion research

  (3) The Governor in Council may, in respect of contracts for public opinion research, make regulations

  • (a) prescribing the form and content of the term of the contract and of the written report referred to in subsection 40(2); and

  • (b) requiring the report to be made available to the public in the manner, and subject to the conditions, specified in the regulations.

• Marginal note:Definitions

  (4) The following definitions apply in this section.

  funding agreement

  funding agreement, in respect of a recipient, means an agreement in writing under which the recipient receives a grant, contribution or other funding from Her Majesty in right of Canada or a Crown corporation, either directly or through an agent or mandatary of Her Majesty, including by way of loan, but excludes contracts for the performance of work, the supply of goods or the rendering of services. (accord de financement)

  recipient

  recipient means an individual, body corporate, partnership or unincorporated organization that has, in any five consecutive fiscal years, received a total of one million dollars or more under one or more funding agreements, but does not include

  • (a) a Crown corporation;

  • (b) a departmental corporation;

  • (c) the government of a foreign state, a provincial government or a municipality, or any of their agencies;

  • (c.1) a band, as defined in subsection 2(1) of the Indian Act, any member of the council or any agency of the band or an aboriginal body that is party to a self-government agreement given effect by an Act of Parliament or any of their agencies;

  • (d) a corporation that is controlled by a municipality or a government other than the Government of Canada; or

  • (e) an international organization. (bénéficiaire)

Marginal note:Five-year reviews

• 42.1 (1) Subject to and except as otherwise provided in any directives issued by the Treasury Board, every department shall conduct a review every five years of the relevance and effectiveness of each ongoing program for which it is responsible.

• Marginal note:Definition of program

  (2) In this section, program means a program of grants or contributions made to one or more recipients that are administered so as to achieve a common objective and for which spending authority is provided in an appropriation Act.

PART III.2Financial Transactions Related to Asset Management

Marginal note:Definitions

42.2 The following definitions apply in this Part.

fiscal agent

fiscal agent means a fiscal agent appointed under this Part and includes the Bank of Canada. (agent financier)

registrar

registrar means a registrar appointed under this Part and includes the Bank of Canada. (agent comptable)

Marginal note:Lending of funds

• 42.3 (1) The Minister may, for the sound and efficient management of the Consolidated Revenue Fund, lend money by way of an auction on any terms and conditions that the Minister considers appropriate.

• Marginal note:Limit

  (2) However, the Minister is not to make a loan that exceeds the surplus of the part of the Consolidated Revenue Fund that is on deposit with the Bank of Canada at the time of the making of the loan.

• Marginal note:Determination

  (3) For the purposes of subsection (2), the amount of the surplus is determined by the Bank of Canada.

• Marginal note:Part of Consolidated Revenue Fund

  (4) Any loans made under subsection (1) may only be paid out of the part of the Consolidated Revenue Fund that is on deposit with the Bank of Canada.

• Marginal note:Powers related to loans

  (5) Despite section 42.5, the Minister may enter into any contract or agreement related to the loans and do any other thing relating to the loans that the Minister considers appropriate.