Roch Hupp Director General, Financial Operations Public Works and Government Services Canada

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Roch HuppéDirector General, Financial
OperationsPublic Works and Government Services
Canada

• Policy Suite Renewal and You
• FMI PD Week 2007

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Presentation Overview

• OCG Policy Suite Renewal Initiative
• Key Changes
• Proposed Tier-based Phased-in Implementation
• How is PWGSC Preparing?
• Shared Responsibility
• Initial Policy Gap Analysis
• Revised Financial Policy Framework
• In-depth Analysis
• Next Steps
• Final Thoughts
• Questions
• Note List of Acronyms at End (Slide 17)

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OCG Policy Suite RenewalKey Changes - Government

• Integrated, Streamlined Consolidated Policy
  Infrastructure
• Considerable reduction in number of policies
• Financial Management Policy Framework
• 5 Core Financial Management Policies
• 25 Directives
• 12 Standards (11 TBAS, 1 TBFSS)
• TB has delegated the authority to develop and
  amend financial management directives and
  standards to the Comptroller General.

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Current policy format
Proposed policy format
OCG Policy Suite RenewalKey Changes - Departments

• Policy Objective
• Policy Statement
• Application
• Policy Requirements
• Procedural Requirements
• Monitoring

• Application
• Context
• Policy Statement
• Objective
• Results
• Policy Requirements
• D.H. (Accounting Officer)
• CG
• CFO (Supports D.H.)
• ADM or Equivalent
• Monitoring Reporting
• Consequences

Role-based
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OCG Policy Suite RenewalProposed Tier-Based
Phased-In Implementation
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How is PWGSC Preparing?Shared Responsibility

• Engagement at all levels Individual to
  Department
• Learn about what is coming
• Consult colleagues
• Find/review available information
• Analyze what is coming
• Compare to current policies and processes
• Identify gaps
• Plan for what is coming
• How to address gaps
• Consider business planning cycle
• Transformation (internal, external, ongoing)
• Integration with current processes
• Start implementation

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How is PWGSC Preparing?Initial Policy Gap
Analysis
Implement CFO Model (Design Phase) / Determine
policy priorities (Revised FPF)
Identify Policy Gap (Impact Analysis / Crosswalk)
Plan policy development (FCTB Multi-year Plan)
Develop, deliver and support priority policies
(Implementation)
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How is PWGSC Preparing?Initial Policy Gap
Analysis - Matrix
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How is PWGSC Preparing?Initial Policy Gap
Analysis - Crosswalk
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How is PWGSC Preparing?Initial Policy Gap
Analysis Reporting
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How is PWGSC Preparing? Revised Financial Policy
Framework
FPF Objective To define a strategic and
systematic approach in the development and
implementation of financial policies.

• Proposed Revised Components
• Financial Management
• Expenditure Management
• Revenue and Receivables Management
• Resource Management
• Reporting
• Management of Financial Systems
• Ongoing Monitoring and Assurance
• Other

Alignment with proposed OCG structure
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How is PWGSC Preparing? Revised Financial Policy
Framework (contd)Example - Expenditure
Management
Legislation, regulations and TB/TBS
Policies/directives
PWGSC Policy Instruments

• Financial Administration Act
• Directive on Delegation of Authorities
• Directive on Account Verification
• Directive on Acquisition Cards
• Directive on Claims and Ex Gratia Payment
• Directive on Commitment Control
• Directive on Financial Management of Pay
  Administration
• Directive on Contingencies
• Directive on Departmental Bank Accounts
• Directive on Electronic Authorization and
  Authentication
• Directive on Period End Recording
• Directive on Payment Requisitioning and Cheque
  Control
• Directive on Travel Cards and Travelers Cheques

• Delegation of Authorities Instrument (to be
  updated)
• Post Verification Process (to revise NAVF)
• Hospitality Policy (to be amended)
• Hospitality Procedures (to be amended)
• Hospitality Bulletins (to be amended)
• Policy on Membership Fees (to be amended)
• Procedures on Membership Fees (to be amended)
• Policy on Acquisition Cards (to be amended)
• Policy on Accounting and Reporting Inventories
  (to be amended)
• Policy on Commitment Control (to be amended)
• Procedures on Commitment Control (to be amended)
• Policy on Advance Payments (to be amended)
• Use of Government Individual Travel Cards (to be
  amended or rescinded)

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How is PWGSC Preparing? In-depth Analysis

• Leveraging from policy work
• External view
• Greater consultation
• Collection of evidence
• Current processes
• Related projects
• Categorization of risks
• Level of effort
• Identification and prioritization of key issues

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How is PWGSC Preparing? In-depth Analysis
(contd)

• Key Issues
• Internal Control
• Statement of Internal Control
• Approval of Delegated Authorities
• Reporting
• Link of financial and non-financial information
• Audited Financial Statement
• Monitoring

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How is PWGSC Preparing? Next Steps

• Short-term
• Communication Strategy
• Raise awareness of initiative internally
• Present to Finance Branch and Senior Management
  (NCR and Regions)
• Develop Long-Term Communication Strategy
• Provide updates on OCG Initiative
• Develop multi-year action plan
• Develop monitoring framework and implementation
  plan
• Ongoing consultation and learning
• Long-term (upon TB approval of new policy
  instruments)
• Revalidation exercise
• Revise, as applicable
• Impact analysis
• Financial Policy Framework
• Policy multi-year action plan
• Implement long-term communication strategy

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Final Thoughts
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Acronyms
ADM Assistant Deputy Minister CFO Chief
Financial Officer CG Comptroller
General DH Deputy Head FCTB Financial Policies,
Community Renewal and Treasury Board Submissions
FMI Financial Management Institute FMF Financial
Management Framework FPF Financial Policy
Framework FSDA Financial Statements Discussion
Analysis NCR National Capital Region OCG Office
of the Comptroller General PWGSC Public Works and
Government Services Canada TBAS Treasury Board
Accounting Standard TBFSS Treasury Board
Financial System Standard TBS Treasury Board of
Canada Secretariat TB Treasury Board
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Policy Hierarchy