2021-22 Departmental Results Report - Details on transfer payment programs $5 million or more

Atlantic Innovation Fund - Voted

Start date: May 10, 2001

End date: Ongoing

Type of transfer payment: Contribution

Type of appropriation: Appropriated annually through Estimates

Fiscal year for terms and conditions: 2019-20

Link to departmental result: Businesses invest in the development and commercialization of innovative technologies in Atlantic Canada

Link to department’s Program Inventory: Research and Development, and Commercialization; Innovation Ecosystem

Purpose and objectives of transfer payment program: The Atlantic Innovation Fund (AIF) makes strategic investments in research and development (R&D) initiatives in natural and applied sciences as well as in social sciences, humanities, and arts and culture. Projects are expected to result in the successful adaptation, development, or commercialization of technology-based products, processes or services.

Contributions to non-profit organizations are non-repayable. Contributions to for-profit businesses to fund R&D projects that involve the commercialization of a product, process, technology or service are repayable, either conditionally or unconditionally.

Results achieved: Investments resulted in increased activity in innovation and R&D, leading to technologies, products, processes or services that contributed to economic growth in Atlantic Canada.

Findings of audits completed in 2021-22: No audits were completed or planned during fiscal year 2021-22.

Findings of evaluations completed in 2021-22: No evaluations were completed or planned during fiscal year 2021-22.

Engagement of applicants and recipients in 2021-22: ACOA’s transfer payment programs (including the AIF) are designed, delivered and managed in such a way that they remain client-focused, are relevant to the applicants’ and recipients’ needs, and achieve the expected results for which they are designed.

AIF information is shared with applicants and recipients through ACOA’s website and communication between AIF program delivery staff and clients.

Through Innovation Canada, access to information on funding programs has also increased. When potential applicants enter basic information via their website application, it generates targeted results of potential innovation programs, including the AIF.

Financial information (dollars)

Explanation of variance: In 2021-22, there was a lower level of activity than planned because no projects were approved under the AIF and many projects focusing on innovation were approved under the Regional Economic Growth through Innovation (REGI) Program.

Business Development Program - Voted

Start date: July 25, 1995

End date: Ongoing

Type of transfer payment: Grant and contribution

Type of appropriation: Appropriated annually through Estimates

Fiscal year for terms and conditions: 2010-11

Link to departmental results: Communities are economically diversified in Atlantic Canada, Businesses invest in the development and commercialization of innovative technologies in Atlantic Canada, Businesses are innovative and growing in Atlantic Canada

Link to department’s Program Inventory: Inclusive Communities; Diversified Communities; Research and Development, and Commercialization; Innovation Ecosystem; Business Growth; Trade and Investment; Policy Research and Engagement

Purpose and objectives of transfer payment program: Through the Business Development Program (BDP), the Agency works to create opportunities for economic growth in Atlantic Canada by helping small and medium-sized enterprises (SMEs) become more competitive. The Agency also works with communities to develop and diversify local economies, and champions the strengths of the region in partnership with Atlantic Canadians.

The objectives of the BDP are as follows:

• Improve the growth and competitiveness of Atlantic Canadian SMEs.
• Provide for dynamic and sustainable communities in Atlantic Canada.
• Provide for initiatives that strengthen the Atlantic region’s economy.

The BDP is used to deliver the Tourism Relief Fund (TRF). The TRF helped position Atlantic Canada as a destination of choice as domestic and international travel rebounds by empowering tourism businesses to create new or enhance existing tourism experiences and products to attract more local and domestic visitors, and by helping the sector reposition itself to welcome international visitors by providing the best Canadian tourism experiences it has to offer the world.

In general, contributions to for-profit businesses are repayable, either conditionally or unconditionally. Under some of the BDP’s elements, non-repayable contributions to for-profit businesses may be permitted.

Contributions to non-profit organizations are generally non-repayable but are conditionally repayable if a project results in what would normally be considered a commercial activity.

Results achieved: Through the BDP, the Agency supported Atlantic Canada’s economic growth and prosperity by helping SMEs compete and succeed in a global market, and by investing in the development of inclusive and diverse communities.

Projects included support to SMEs with high growth potential, the hiring of skilled and diverse personnel, the modernization and expansion of businesses, export preparedness, training, and the adoption of new technologies. BDP investments helped businesses and communities accelerate their transition to a cleaner, low-carbon economy through the adoption of clean technologies. The Agency also contributed to the development of dynamic and sustainable communities in Atlantic Canada by investing in initiatives that fostered entrepreneurship, talent attraction, skills development, business growth and community vitality (e.g., tourism investments).

Findings of audits completed in 2021-22: No audits were completed or planned during fiscal year 2021-22.

Findings of evaluations completed in 2021-22: No evaluations were completed or planned during fiscal year 2021-22.

Engagement of applicants and recipients in 2021-22: ACOA’s transfer payment programs (including the BDP) are designed, delivered and managed in such a way that they remain client-focused, are relevant to applicants’ and recipients’ needs, and achieve expected results. Engaging key stakeholders in discussions regarding the creation or review of ACOA’s programming is part of the Agency’s operations and evaluation practices. To ensure the ongoing relevance of programming, the Agency solicits feedback from clients and stakeholders on an ongoing basis, whether through information sharing, consultations or collaborations.

ACOA engages the following stakeholders: the business sector; community-based economic development organizations and volunteer groups; universities and colleges; research institutes; other levels of government; First Nations communities; and official language minority communities.

Additionally, BDP information is continually shared with applicants and recipients through ACOA’s website and outreach events in communities across Atlantic Canada.

Financial information (dollars)

Explanation of variance: In 2021-22, COVID-19 relief and recovery spending stabilized and approvals under the BDP reduced as a result of the emergency programs’ sunsetting.

Regional Economic Growth through Innovation – Voted

Name of transfer payment program:

Growth through Regional Innovation Program (GRIP) (known as the Regional Economic Growth through Innovation [REGI] Program)

REGI is used to deliver the following initiatives:

• Black Entrepreneurship Program (BEP)
• Canadian Experiences Fund (CEF)
• Canadian Coal Transition Initiative and its Infrastructure Fund (CCTI and CCTI-IF)
• Women Entrepreneurship Strategy (WES) Ecosystem Fund
• Aerospace Regional Recovery Initiative (ARRI)
• Jobs and Growth Fund (JGF)

REGI was used to deliver the following expired COVID-19 relief programs:

• Canadian Seafood Stabilization Fund (CSSF)
• Regional Relief and Recovery Fund (RRRF)
• Regional Air Transportation Initiative (RATI)

Start date: October 18, 2018

End date: Ongoing

Type of transfer payment: Grant and Contribution

Type of appropriation: Appropriated annually through Estimates

Fiscal year for terms and conditions: 2019-20

Link to departmental results: Communities are economically diversified in Atlantic Canada, Businesses invest in the development and commercialization of innovative technologies in Atlantic Canada, Businesses are innovative and growing in Atlantic Canada

Link to department’s Program Inventory: Business Growth; Innovation Ecosystem; Trade and Investment; Inclusive Communities; Diversified Communities; Research and Development, and Commercialization

Purpose and objectives of transfer payment program: The REGI Program builds on the objectives of the Innovation and Skills Plan. Its goal is to provide streamlined, nationally coordinated yet regionally tailored support for business productivity and scale-up, particularly for SMEs, women entrepreneurs and other under-represented groups, and assist the enhancement of regional industrial and technology clusters and regional innovation ecosystems.

The program provides assistance through two streams:

• Business Scale-up and Productivity – Invest in and support businesses, including high-growth firms, at various stages of development to accelerate their growth and assist them in scaling up as well as enhance their productivity and competitiveness in both domestic and global markets.
• Regional Innovation Ecosystems – Create, grow and nurture inclusive regional ecosystems that support business needs and foster an entrepreneurial environment conducive to innovation, growth and competitiveness.

Initiatives delivered through REGI

REGI is used to deliver the CEF, which supports communities across Canada as they create, improve or enhance tourism products, facilities and experiences.

REGI is used to deliver WES, which provides nationally coordinated, regionally tailored investments to help women entrepreneurs and supports regional innovation ecosystems through two program streams:

• WES Ecosystem Fund – A five-year program to help non-profit, third-party organizations deliver support for women entrepreneurs and address gaps in the ecosystem.
• Pilot Contribution Program (Women Entrepreneurship Fund) – A two-year program that invests directly in women-owned or women-led businesses to help them grow and reach new markets.

REGI is used to deliver the CCTI, which supports efforts to diversify the economy of communities impacted by a transition away from coal-fired electricity. Impacted communities are in northern New Brunswick and eastern Nova Scotia. The CCTI focuses on economic diversification (e.g., tourism, start-ups, other industrial sectors); community infrastructure that enables new businesses and revenues; and green energy investments that create new skills and jobs.

COVID recovery programs delivered through REGI

The ARRI provided support to SMEs to green their operations and adopt environmentally sustainable practices; to improve productivity; and to strengthen commercialization while furthering integration into regional and global supply chains.

The JGF helped job creators and the organizations that support them to future-proof their businesses, build resiliency and prepare for growth by transitioning to a green economy, fostering an inclusive recovery, enhancing competitiveness, and creating jobs in every corner of the country.

COVID-19 relief programs delivered through REGI

The CSSF was offered to Atlantic fish and seafood processors for COVID-19-related costs, including to find storage solutions for live, frozen and/or processed products; to invest in new equipment, materials or services; and/or to meet new market demands.

The RATI helped Atlantic Canada’s air transportation ecosystems affected by the economic impacts of COVID-19. This support will enable the ecosystems to remain operational through these difficult times and continue to support the economic growth of our region.

The RRRF provided liquidity assistance for businesses affected by the COVID-19 pandemic that were rejected by or were unable to access other federal pandemic support programs, or that continue to have liquidity needs.

Contributions issued under the REGI Program and its initiatives may be unconditionally or conditionally repayable, or non-repayable. Contributions issued under WES and the Black Entrepreneurship Program are non-repayable.

Results achieved:

Projects supported under the REGI Program aimed to accelerate the growth of firms and assisted with the adoption of new, innovative technologies, the scale-up and productivity improvement of SMEs, and the development of and entry into new markets.

The REGI Program also funded projects that supported the growth and development of a strong and inclusive regional ecosystem to foster the entrepreneurial environment necessary for more innovative regional economies and to increase the competitiveness of SMEs, women entrepreneurs and under-represented groups.

Findings of audits completed in 2021-22: The Office of the Auditor General of Canada (OAG) tabled a performance audit on the Government’s response to the COVID-19 pandemic with respect to “Protecting Canada’s Food Supply.” This audit was part of a suite of audits that the OAG undertook in response to Parliament’s request that it examine and report on the federal government’s spending in response to the pandemic. One of the programs within the scope of the audit was the CSSF. While it was a Department of Fisheries and Oceans program, it was delivered in Atlantic Canada through ACOA. The Agency provided information and input on its role in the CSSF and no recommendations were made for ACOA. The audit report, with its findings, was tabled in December 2021 and found in summary that:

• The government had not developed a national emergency preparedness and response plan that considered a crisis affecting the entire food system and Canadians’ food security.
• Responsible departments and agencies drew on existing programs to expedite the creation of the new emergency food programs.
• Some inconsistencies in program design led to unfair treatment of applicants and recipients across regions.
• Responsible departments and agencies could not always measure gender and diversity outcomes, and the programs’ contributions to sustainable development were not always clear.

Findings of evaluations completed in 2021-22: No evaluations were completed or planned during fiscal year 2021-22.

Engagement of applicants and recipients in 2021-22: ACOA’s transfer payment programs (including the new REGI Program) are designed, delivered and managed in such a way that they remain client-focused, are relevant to applicants’ and recipients’ needs, and achieve expected results. Engaging key stakeholders in discussions regarding the creation or review of ACOA’s programming is part of the Agency’s operations and evaluation practices. To ensure the ongoing relevance of programming, the Agency solicits feedback from clients and stakeholders on an ongoing basis, whether through information sharing, consultations or collaborations.

ACOA engaged with other regional development agencies and the following stakeholders: the business sector; community-based economic development organizations and volunteer groups; universities and colleges; research institutes; other levels of government; First Nations communities; and official language minority communities.

Additionally, information regarding the REGI Program is continually shared with applicants and recipients through ACOA’s website and outreach events in communities across Atlantic Canada.

Financial information (dollars)

Explanation of variance: In 2021-2022, there was a higher level of activity due to a continued focus on COVID-19 recovery to help Atlantic Canadian firms, organizations and communities. As these emergency programs sunset, spending will stabilize.

Community Futures Program - Voted

Start date: May 18, 1995

End date: Ongoing

Type of transfer payment: Contribution

Type of appropriation: Appropriated annually through Estimates

Fiscal year for terms and conditions: 2009-10

Link to departmental result: Communities are economically diversified in Atlantic Canada

Link to department’s Program Inventory: Inclusive Communities; Diversified Communities

Purpose and objectives of transfer payment program: The program’s purpose is to help communities develop and implement local solutions to local problems. It provides non-repayable contributions to community futures organizations – known in Atlantic Canada as Community Business Development Corporations (CBDCs) – and their associations. Community-based governance is at the heart of the Community Futures Program (CFP). CBDCs are legally incorporated, non-profit, autonomous organizations managed by local volunteer boards who make decisions that shape these organizations, affect the lives of entrepreneurs and impact their communities. They provide financial and technical support to SMEs and social enterprises in rural areas.

Results achieved: In 2021-22, ACOA supported the CBDC network in Atlantic Canada for the Community Futures Program, with additional funding injected into the Regional Relief and Recovery Fund (RRRF) due to COVID-19. This RRRF saw 191 loans valued at $15 million distributed to main street businesses and retailers in small, rural and remote communities throughout Atlantic Canada. Further, ACOA’s support to the CBDC network under their regular programing translated into an additional 1,240 loans valued at $83.5 million and the leveraging of an additional $65.3 million in funds for the creation and expansion of small businesses throughout rural communities in Atlantic Canada.

Findings of audits completed in 2021-22: No audits were completed or planned during fiscal year 2021-22.

Findings of evaluations completed in 2021-22: No evaluations were completed or planned during fiscal year 2021-22.

Engagement of applicants and recipients in 2021-22: The Agency continued to engage with and align its support to the CBDC network as part of the implementation of the Community Futures of Tomorrow model under a collaborative joint oversight committee. This maximized all available resources, including the funds provided by the CFP. With a view to maintaining the long-term viability of the program, the committee acts as a governance body by ensuring that the model’s objectives are managed collaboratively among individual CBDCs, the Atlantic Association of CBDCs, and ACOA.

As part of its due diligence process and accountability to Parliament, the Agency has a responsibility to ensure that appropriate governance practices are in place with respect to organizations to which it provides operational support. ACOA continues to collaborate with the CBDC network and individual organizations to enhance governance practices, where required, and provide ongoing training to board members to ensure a continued understanding of effective governance and the importance of achieving desired results the right way.

ACOA continues to work with other federal regional development agencies, the Community Futures Network of Canada (CFNC) and the CBDCs to increase the integrity and consistency of performance results, improve the collection of data and implement the Community Futures Program’s performance measurement strategy. In collaboration with other federal government departments responsible for the management of the program, ACOA presents performance results for 2021-22 and continues to engage the CFNC in refining the collection and use of performance information needed by all stakeholders, including the CBDCs.

Financial information (dollars)

Explanation of variance: In 2021-22, there was a higher level of activity than planned because many projects focused on COVID-19 relief and recovery to help Atlantic Canadian firms, organizations and communities. As these emergency programs sunset, spending will stabilize.

Innovative Communities Fund - Voted

Start date: April 1, 2005

End date: Ongoing

Type of transfer payment: Contribution

Type of appropriation: Appropriated annually through Estimates

Fiscal year for terms and conditions: 2009-10

Link to departmental results: Communities are economically diversified in Atlantic Canada, Businesses invest in the development and commercialization of innovative technologies in Atlantic Canada, Businesses are innovative and growing in Atlantic Canada

Link to department’s Program Inventory: Diversified Communities; Inclusive Communities; Innovation Ecosystem

Purpose and objectives of transfer payment program: The Innovative Communities Fund (ICF) is designed to make non-repayable contributions to strategic projects that build the economies of Atlantic Canada’s communities. The ICF focuses on investments that lead to long-term employment and economic capacity building in rural communities. Urban initiatives that stimulate the competitiveness and vitality of rural communities may also be considered on a select basis.

The ICF is used to deliver the Canada Community Revitalization Fund (CCRF). The CCRF supports non-profit organizations, municipalities and other community groups, as well as Indigenous communities, to build new community infrastructure and revitalize existing assets; bring people back to public spaces safely as health measures ease; and create jobs and stimulate local economies.

Results achieved: The ICF capitalizes on the strengths of Atlantic communities and provides them with the tools needed to identify opportunities for sustainable economic growth. The overall expected result is to build dynamic and sustainable communities in Atlantic Canada while focusing on increased economic and business activity. ACOA continued to work with communities and stakeholders on strategic projects related to economic development capacity as well as business-sector development.

Findings of audits completed in 2021-22: No audits were completed or planned during fiscal year 2021-22.

Findings of evaluations completed in 2021-22: No evaluations were completed or planned during fiscal year 2021-22.

Engagement of applicants and recipients in 2021-22: Eligible recipients for the ICF include municipalities and local organizations, First Nations communities, industry-related groups (e.g., industry or sector associations), and non-profit organizations.

Under the ICF, the Agency continues to proactively engage with its partners and stakeholders, including community organizations, educational institutions, official language minority communities, First Nations communities and other levels of government, through discussions regarding strategic community development opportunities. These discussions ensure that the Agency’s investments continue to respond to the evolving economic needs and priorities of Atlantic Canadian communities. In addition, ICF information is continually shared with applicants and recipients through ACOA’s website.

Financial information (dollars)

Explanation of variance: In 2021-22, there was a lower level of activity than planned because many short-term initiatives, such as the RRRF, TRF and CCRF, were available to typical ICF clients and offered more immediate support for short-term needs. In addition, there were fewer project approvals in 2021-22, and by extension fewer projects to fund, due to the federal election. As COVID-19 emergency programs sunset, spending will stabilize.

Transfer payment programs with total spending of less than $5 million

Atlantic Policy Research Initiative – Voted

Start date: July 1, 2000

End date: Ongoing

Type of transfer payment: Contribution

Type of appropriation: Appropriated annually through Estimates

Fiscal year for terms and conditions: 2009-10

Link to departmental results: Communities are economically diversified in Atlantic Canada, Businesses invest in the development and commercialization of innovative technologies in Atlantic Canada, and Businesses are innovative and growing in Atlantic Canada

Link to the department’s Program Inventory: Policy Research and Engagement

Purpose and objectives of transfer payment program: The Atlantic Policy Research Initiative (APRI) is the primary funding instrument through which ACOA supports policy research. The program provides non-repayable contributions.

The objectives of the program are to:

• generate and disseminate knowledge that enhances policy knowledge, taking into account regional economic opportunities and challenges;
• support and influence the policy research priorities that impact the Atlantic region, particularly those directly related to economic development; and
• establish and promote networks among stakeholders.

Results achieved: APRI helped fund research to support well-informed policy decisions reflecting opportunities and challenges of the Atlantic region’s economy while considering enterprise and community development potential.

Findings of audits completed in 2021-22: No audits were completed or planned during fiscal year 2021-22.

Findings of evaluations completed in 2021-22: No evaluations were completed or planned during fiscal year 2021-22.

Engagement of applicants and recipients in 2021-22: On a regular basis, ACOA meets with regional stakeholders and eligible applicants to discuss Government of Canada priorities and policy research opportunities. Regional program officers frequently refer eligible applicants looking to conduct policy research on diverse topics.

Financial information (dollars)

Explanation of variance: In 2021-22, actual spending remained in line with planned spending.