Quarterly financial report for the quarter ended September 30, 2025

Statement outlining results, risks and significant changes in operations, personnel and programs

Introduction

This quarterly report was prepared by management as required by Section 65.1 of the Financial Administration Act and in the form and manner prescribed by Treasury Board. It should be read in conjunction with the Office of the Privacy Commissioner of Canada’s (OPC) Main and Supplementary Estimates.

The mandate of the OPC is overseeing compliance with both the Privacy Act, which covers the personal information-handling practices of federal government departments and agencies, and the Personal Information Protection and Electronic Documents Act (PIPEDA), Canada’s federal private-sector privacy law.

Detailed information on the OPC’s authority, mandate and programs can be found in our Departmental Plan (DP) and Main Estimates.

Basis for Presentation

This quarterly report has been prepared by management using an expenditure basis of accounting. The accompanying Statement of Authorities includes the Office’s spending authorities granted by Parliament and those used by the Office, consistent with the Main Estimates and the Supplementary Estimates (as applicable) for fiscal year 2025–26. This quarterly report has been prepared using a special purpose financial reporting framework designed to meet financial information needs with respect to the use of spending authorities.
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The authority of Parliament is required before moneys can be spent by the Government. Approvals are given in the form of annually approved limits through appropriation acts or through legislation in the form of statutory spending authority for specific purposes.

When Parliament is dissolved for the purposes of a general election, section 30 of the Financial Administration Act authorizes the Governor General, under certain conditions, to issue a special warrant authorizing the Government to withdraw funds from the Consolidated Revenue Fund. A special warrant is deemed to be an appropriation for the fiscal year in which it is issued.

The OPC uses full accrual method of accounting to prepare and present its annual financial statements that are part of the departmental performance reporting process. However, the spending authorities voted by Parliament remain on an expenditure basis.

This report has not been subject to an external audit or review.

Highlights of Fiscal Quarter and Fiscal Year-to-Date (YTD) Results

This section highlights the significant variances between actual expenditures and planned expenditures that affected both the quarter and the year-to-date results, compared to the same period the preceding fiscal year.

Statement of authorities analysis

As reflected in the statement of authorities table, the authorities available for use for the year are $39.7 million, which represents the OPC’s 2025–26 Main Estimates amount and the operating budget carry forward. Authorities available for use have increased by $4.7 million compared to 2024–25. The variance between both fiscal years is mainly explained by the additional temporary funding received as part of Budget 2023 for preparation activities required to implement the Consumer Privacy Protection Act that was proposed as part of Bill C-27, the funding received for the collective agreements, and adjustments to the employee benefits plan.

As of September 30, 2025, the OPC used $17.7 million of its authorities available for use while for the same period in the preceding fiscal year, the OPC had used $16.2 million of its authorities available for use.

The OPC provides Internal Support Services to other small government departments related to the provision of information technology services. Pursuant to section 29.2 of the Financial Administration Act, Internal Support Services agreements are recorded as revenues.

Budgetary expenditures by standard object analysis

As per the departmental budgetary expenditures by standard object table, the OPC’s quarterly spending of 2025–26 has increased by $0.3 million or 3.1% compared to the previous year while the year-to-date spending has increased by $1.5 million or 9.2% when compared to the same period last fiscal year.

The quarterly and year-to-date spending increases are mainly attributable to an increase in personnel expenditures due to new hirings and increases in salary ranges following new collective bargaining implementation. It is also explained by the hosting of the G7 Data Protection and Privacy Authorities Roundtable and the OPC’s 2025 Privacy Symposium and investments in OPC’s internal Artificial Intelligence (AI) strategy to deliver artificial intelligence capabilities within the Office with a view to develop and expand practical AI expertise within the office and demonstrate the safe and responsible adoption of AI within the Government of Canada context.

Risks and Uncertainties

The OPC’s key corporate risks are identified and assessed through its strategic planning process, which includes an environmental scanning exercise and an update of its Corporate Risk Profile. This year again, the Office continues to deal with a challenging operating context, stemming from the growing digital economy. For more information on these challenges, and on how the OPC is addressing them, please refer to the OPC’s 2025–26 Departmental Plan.

In addition, the OPC continues to take actions to mitigate the issues arising with the Phoenix pay system for its employees and to monitor closely any salary payments adjustments that may be required, including salary adjustments resulting from recent collective bargaining agreements.

Significant changes in relation to operations, personnel and programs

No other significant changes related to operations or programs occurred during the second quarter of 2025–26.

Approval by Senior Officials:

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Statement of authorities (unaudited)
For the quarter ended September 30, 2025
(in thousands of dollars)

Item	Fiscal year 2025-26			Fiscal year 2024-25
	Total available for use for the year ending March 31, 2026	Used during the quarter ended September 30, 2025	Year-to-date used at quarter end	Total available for use for the year ending March 31, 2025	Used during the quarter ended September 30, 2024	Year-to-date used at quarter end
Program expenditures	35,827	7,824	15,666	31,780	7,738	14,525
Less: Revenues Netted Against Expenditures	(200)	(39)	(39)	(200)	(48)	(48)
Budgetary statutory authority – Employee benefit plan	4,113	1,029	2,057	3,428	857	1,714
Total budgetary authorities	39,740	8,814	17,684	35,008	8,547	16,191
TOTAL AUTHORITIES	39,740	8,814	17,684	35,008	8,547	16,191

 

 

Departmental budgetary expenditures by Standard Object (unaudited)
For the quarter ended September 30, 2025
(in thousands of dollars)

Item	Fiscal year 2025-26			Fiscal year 2024-25
	Planned expenditures for the year ending March 31, 2026	Expended during the quarter ended September 30, 2025	Year-to-date used at quarter end	Planned expenditures for the year ending March 31, 2025	Expended during the quarter ended September 30, 2024	Year-to-date used at quarter end
Expenditures
Personnel	31,606	7,813	15,516	29,268	7,609	14,049
Transportation and communications	489	83	122	421	89	199
Information	602	150	227	420	4	151
Professional and special services	4,462	704	1,193	3,057	813	1,333
Rentals	1,126	94	428	801	58	459
Repair and maintenance	165	2	2	145	16	24
Utilities, materials and supplies	35	20	25	49	7	9
Acquisition of land, buildings and works	47	-	-	34	2	2
Acquisition of machinery and equipment	899	10	212	513	8	16
Transfer payments	500	-	-	500	-	-
Other subsidies and payments *	9	(23)	(2)	-	(11)	(3)
Total gross budgetary expenditures	39,940	8,853	17,723	35,208	8,595	16,239
Less: revenues netted against expenditures
Internal Support Services	(200)	(39)	(39)	(200)	(48)	(48)
TOTAL NET BUDGETARY EXPENDITURES	39,740	8,814	17,684	35,008	8,547	16,191
* The main purpose of this reporting object is to capture costs that will be transferred to other reporting objects prior to the end of the fiscal year, for example, transactions related to the Government of Canada "corporate acquisition cards" and Interdepartmental Settlements.