Future-Oriented Financial Statements for the Years Ending March 31, 2016 and March 31, 2017

The Office of the Registrar of the Supreme Court of Canada

Future-Oriented Statement of Operations (Unaudited)

For the Year Ending March 31
(in dollars)

Expenses
	Forecast Results 2015-16	Planned Results 2016-17
Court Operations	21,286,437	20,857,561
Payments to Judges of the Supreme Court of Canada Pursuant to the Judges Act	7,087,990	7,425,442
Internal Services	14,871,309	14,412,883
Total expenses	43,245,736	42,695,886

Revenues
Sale of information documents and other fees	158,127	157,751
Pension contribution revenues	102,779	110,000
Revenues earned on behalf of Government	(256,550)	(267,751)
Total revenues	4,356	-

Net cost of operations before government funding	43,241,380	42,695,886

The accompanying notes form an integral part of the future-oriented statement of operations.

Notes to the Future-Oriented Statement of Operations (Unaudited)

1. Methodology and Significant Assumptions

The future-oriented statement of operations has been prepared on the basis of the government priorities and plans of the Office of the Registrar of the Supreme Court of Canada (Office) as described in the Report on Plans and Priorities.

The information in the forecast results for fiscal year 2015-16 is based on actual results as at December 31, 2015 and on forecasts for the remainder of the fiscal year. Forecasts have been made for the planned results for the 2016-17 fiscal year.

The main assumptions underlying the forecasts are as follows:

The Office's activities will remain substantially the same as in previous year; and
Expenses and revenues, including the determination of amounts internal and external to the government, are based on experience. The general historical pattern is expected to continue.

These assumptions are adopted as at January 13, 2016.

2. Variations and Changes to the Forecast Financial Information

While every attempt has been made to forecast final results for the remainder of 2015-16 and for 2016-17, actual results achieved for both years are likely to vary from the forecast information presented, and this variation could be material.

In preparing this future-oriented statement of operations, the Office has made estimates and assumptions concerning the future. These estimates and assumptions may differ from the subsequent actual results. Estimates and assumptions are continually evaluated and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Factors that could lead to material differences between the future-oriented statement of operations and the historical statement of operations include the following:

The timing and amount of acquisitions and disposals of property, plant and equipment may affect gains/losses and amortization expense.
Implementation of new collective agreements.
Economic conditions may affect the amount of revenue earned.
Further changes to the operating budget through additional new initiatives or technical adjustments later in the year.

Once the Report on Plans and Priorities is presented, the Office will not be updating the forecasts for any changes in financial resources made in ensuing supplementary estimates. Variances will be explained in the Departmental Performance Report.

3. Summary of Significant Accounting Policies

The future-oriented statement of operations has been prepared using the Government's accounting policies that came into effect for the 2015-16 fiscal year, which are based on Canadian public sector accounting standards. The presentation and results using the stated accounting policies do not result in any significant differences from Canadian public sector accounting standards.

Significant accounting policies are as follows:

Expenses:
Expenses are recorded on an accrual basis. Expenses for the Office's operations are recorded when goods are received or services are rendered, including services provided without charge for accommodation, employer contributions to health and dental insurance plans, legal services, worker's compensation, security services and interpretation services, which are recorded as expenses at their estimated cost. Vacation pay and compensatory leave, as well as severance benefits, are accrued and expenses are recorded as the benefits are earned by employees under their respective terms of employment.

Expenses also include provisions to reflect changes in the value of assets, including provisions for bad debt on accounts receivable.

Expenses also include amortization of tangible capital assets, which are capitalized at their acquisition cost. Amortization of tangible capital assets is done on a straight-line basis over the estimated useful life of the asset.
Revenues:
Sales and other revenues are accounted for in the period in which the underlying transaction or event that gave rise to the revenue takes place.

Revenues that are non-respendable are not available to discharge the Office's liabilities. While the Deputy Head is expected to maintain accounting control, he has no authority regarding the disposition of non-respendable revenues. As a result, non-respendable revenues are considered to be earned on behalf of the Government of Canada and are therefore presented in reduction of the Office's gross revenues.

4. Parliamentary Authorities

The Office is financed by the Government of Canada through parliamentary authorities. Financial reporting of authorities provided to the Office do not parallel financial reporting according to generally accepted accounting principles since authorities are primarily based on cash flow requirements. Items recognized in the future-oriented statement of operations in one year may be funded through parliamentary authorities in prior, current or future years. Accordingly, the Office has different net cost of operations for the year on a government funding basis than on an accrual accounting basis. The differences are reconciled in the following tables:

a) Reconciliation of net cost of operations to requested authorities
(in dollars)

Adjustment for items affecting net cost of operations but not affecting authorities:
	Forecast Results 2015-16	Planned Results 2016-17
Net cost of operations before government funding	43,241,380	42,695,886
Amortization of tangible capital assets	(352,628)	(330,241)
Gain (loss) on disposal of tangible capital assets	4,356	-
Services provided without charge by other government departments	(10,278,550)	(9,384,295)
Refund of prior year's expenditures	10,272	-
Decrease (increase) in employee future benefits	(11,519)	(16,011)
Total items affecting net cost of operations but not affecting authorities	(10,628,069)	(9,730,547)

Adjustment for items not affecting net cost of operations but affecting authorities:
Acquisition of tangible capital assets	160,288	251,863
Increase (decrease) in prepaid expenses	(11,094)	-
Total items not affecting net cost of operations but affecting authorities	149,194	251,863
Requested authorities	32,762,505	33,217,202

b) Authorities requested
(in dollars)

Authorities requested:
	Estimated Results 2015-16	Planned Results 2016-17
Vote 50 - Operating expenditures	22,760,420	23,362,704
Statutory amounts	10,002,085	9,854,498
Requested authorities	32,762,505	33,217,202