Financial Statements 2015-2016

The Office of the Registrar of the Supreme Court of Canada

Statement of Management Responsibility Including Internal Control Over Financial Reporting
Statement of Financial Position (Unaudited)
Statement of Operations and Departmental Net Financial Position (Unaudited)
Statement of Change in Departmental Net Debt (Unaudited)
Statement of Cash Flows (Unaudited)
Notes to the Financial Statements (Unaudited)

 

Statement of Management Responsibility Including Internal Control Over Financial Reporting

Responsibility for the integrity and objectivity of the accompanying financial statements for the year ended March 31, 2016, and all information contained in these statements rests with the management of the Office of the Registrar of the Supreme Court of Canada (ORSCC). These financial statements have been prepared by management using the Government's accounting policies, which are based on Canadian public sector accounting standards.

Management is responsible for the integrity and objectivity of the information in these financial statements. Some of the information in the financial statements is based on management’s best estimates and judgment, and gives due consideration to materiality. To fulfill its accounting and reporting responsibilities, management maintains a set of accounts that provides a centralized record of the ORSCC’s financial transactions. Financial information submitted in the preparation of the Public Accounts of Canada, and included in the ORSCC's Departmental Performance Report, is consistent with these financial statements.

Management is also responsible for maintaining an effective system of internal control over financial reporting (ICFR) designed to provide reasonable assurance that financial information is reliable, that assets are safeguarded and that transactions are properly authorized and recorded in accordance with the Financial Administration Act and other applicable legislation, regulations, authorities and policies.

Management seeks to ensure the objectivity and integrity of data in its financial statements through careful selection, training, and development of qualified staff; through organizational arrangements that provide appropriate divisions of responsibility; through communication programs aimed at ensuring that regulations, policies, standards, and managerial authorities are understood throughout the ORSCC and through conducting an annual risk-based assessment of the effectiveness of the system of ICFR.

The system of ICFR is designed to mitigate risks to a reasonable level, based on an on-going process to identify key risks, to assess effectiveness of associated key controls, and to make necessary adjustments.

The ORSCC is subject to periodic Core Control Audits performed by the Office of the Comptroller General (OCG) and uses the results of such audits to comply with the Treasury Board Policy on Internal Control.

A Core Control Audit was initiated in 2015-2016 by the OCG. The audit status is in progress at the time these financial statements are being prepared. The Audit Report and related Management Action Plan will be posted on the ORSCC's website once finalized.

The financial statements of the ORSCC have not been audited.

 

Roger Bilodeau, Q.C., Registrar
Ottawa, Canada
DATE

 

Catherine Laforce, Chief Financial Officer

 

Statement of Financial Position (Unaudited)

As at March 31
(in dollars)

2016 2015
Liabilities
Accounts payable and accrued liabilities (note 4) 2,072,001 2,247,290
Vacation pay and compensatory leave 914,211 840,419
Deferred revenues (note 5) 6,300 -
Employee future benefits (note 6) 975,736 1,055,873
Security Deposit Trust Account (note 7) 392,153 392,053
Judges' Supplementary Retirement Benefits Account (note 8) 2,058,024 1,976,731
Total gross liabilities 6,418,425 6,512,366
 
Liabilities held on behalf of Government
Deferred revenues (note 5) (6,300) -
Total liabilities held on behalf of Government (6,300) -
Total net liabilities 6,412,125 6,512,366
 
Financial assets
Due from Consolidated Revenue Fund 4,516,897 4,571,872
Accounts receivable and advances (note 9) 49,471 102,486
Total gross financial assets 4,566,368 4,674,358
 
Financial assets held on behalf of Government
Accounts receivable and advances (note 9) (11,740) (9,847)
Total financial assets held on behalf of Government (11,740) (9,847)
 
Total net financial assets 4,554,628 4,664,511
 
Departmental net debt 1,857,497 1,847,855
 
Non-financial assets
Prepaid expenses 109,518 97,829
Tangible capital assets (note 10) 940,974 1,036,098
Total non-financial assets 1,050,492 1,133,927
 
Departmental net financial position (807,005) (713,928)

Contractual obligations (note 11)

The accompanying notes form an integral part of these financial statements.

 

Roger Bilodeau, Q.C., Registrar
Ottawa, Canada
DATE

 

Catherine Laforce, Chief Financial Officer

Statement of Operations and Departmental Net Financial Position (Unaudited)

For the Year Ended March 31
(in dollars)

2016
Planned Results		 2016 2015
Expenses
Court operations 21,422,368 20,277,740 20,847,286
Payments to Judges of the Supreme Court of Canada pursuant to the Judges Act 7,087,850 7,933,812 6,565,949
Internal services 14,912,936 13,978,898 14,526,113
Expenses incurred on behalf of Government - - -
Total expenses 43,423,154 42,190,450 41,939,348
 
Revenues
Sale of information documents and other fees 164,717 146,580 249,026
Pension contribution revenues 79,733 102,779 80,753
Revenues earned on behalf of Government (241,450) (245,003) (324,659)
Total revenues 3,000 4,356 5,120
 
Net cost of operations before government funding and transfers 43,420,154 42,186,094 41,934,228
 
Government funding and transfers
Net cash provided by Government   32,364,108 31,032,642
Change in due from Consolidated Revenue Fund   (54,975) 946,865
Services provided without charge by other government departments (note 12)   9,795,287 10,275,188
Transfer of the transition payments for implementing salary payments in arrears (note 13)   (11,404) (597,073)
Other   1 (2)
Net cost of operations after government funding and transfers   93,077 276,608
 
Departmental net financial position - Beginning of year   (713,928) (437,320)
 
Departmental net financial position - End of year   (807,005) (713,928)

Segmented information (note 14)

The accompanying notes form an integral part of these financial statements.

Statement of Change in Departmental Net Debt (Unaudited)

For the Year Ended March 31
(in dollars)

2016 2015
Net cost of operations after government funding and transfers 93,077 276,608
 
Change due to tangible capital assets:
Acquisitions of tangible capital assets 264,731 343,436
Amortization of tangible capital assets (347,956) (332,716)
Proceeds from disposal of tangible capital assets (4,356) (5,120)
Net gain (loss) on disposal of tangible capital assets including adjustments (7,544) 5,120
Other 1 (2)
Total change due to tangible capital assets (95,124) 10,718
 
Change due to prepaid expenses 11,689 17,674
 
Net increase (decrease) in departmental net debt 9,642 305,000
 
Departmental net debt - Beginning of year 1,847,855 1,542,855
 
Departmental net debt - End of year 1,857,497 1,847,855

The accompanying notes form an integral part of these financial statements.

Statement of Cash Flows (Unaudited)

For the Year Ended March 31
(in dollars)

2016 2015
Operating activities
Net cost of operations before government funding and transfers 42,186,094 41,934,228
Non-cash items:
Amortization of tangible capital assets (347,956) (332,716)
Gain (loss) on disposal of tangible capital assets (7,544) 5,120
Services provided without charge from other government departments (note 12) (9,795,287) (10,275,188)
Transition payments for implementing salary payments in arrears (note 13) 11,404 597,073
 
Variations in Statement of Financial Position:
Increase (decrease) in accounts receivable and advances (54,908) (76,150)
Increase (decrease) in prepaid expenses 11,689 17,674
Decrease (increase) in accounts payable and accrued liabilities 175,289 (771,674)
Decrease (increase) in vacation pay and compensatory leave (73,792) (49,754)
Decrease (increase) in employee future benefits 80,137 (260,938)
Decrease (increase) in Security Deposit Trust Account (100) (171)
Decrease (increase) in Judges' Supplementary Retirement Benefits Account (81,293) (93,178)
Cash used in operating activities 32,103,733 30,694,326
 
Capital investing activities
Acquisitions of tangible capital assets 264,731 343,436
Proceeds from disposal of tangible capital assets (4,356) (5,120)
Cash used in capital investing activities 260,375 338,316
 
Net cash provided by Government of Canada 32,364,108 31,032,642

The accompanying notes form an integral part of these financial statements.

Notes to the Financial Statements (Unaudited)

For the Year Ended March 31

1. Authority and objectives

Created by the Supreme Court Act in 1875, the Supreme Court of Canada is Canada's final court of appeal. It serves Canadians by deciding legal issues of public importance, thereby contributing to the development of all branches of law applicable within Canada. The independence of the Court, the quality of its work and the esteem in which it is held both in Canada and abroad contribute significantly as foundations for a secure, strong and democratic country founded on the Rule of Law. The Supreme Court of Canada is an important national institution, positioned at the pinnacle of the judicial branch of government in Canada, separate from and independent of the executive and legislative branches of government.

The Office of the Registrar of the Supreme Court of Canada (ORSCC) provides all necessary services and support for the Court to process, hear and decide cases. It also serves as the interface between litigants and the Court.

The ORSCC has a single strategic outcome: The administration of Canada's final court of appeal is effective and independent. This strategic outcome is further supported by three programs: Court Operations; Payments to Judges of the Supreme Court of Canada Pursuant to the Judges Act; and Internal Services.

2. Summary of significant accounting policies

These financial statements have been prepared using the Government's accounting policies stated below, 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:

  1. Parliamentary authorities – The ORSCC is financed by the Government of Canada through Parliamentary authorities. Financial reporting of authorities provided to the ORSCC do not parallel financial reporting according to generally accepted accounting principles since authorities are primarily based on cash flow requirements. Consequently, items recognized in the Statement of Operations and Departmental Net Financial Position and in the Statement of Financial Position are not necessarily the same as those provided through authorities from Parliament. Note 3 provides a reconciliation between the bases of reporting. The planned results amounts in the "Expenses" and "Revenues" sections of the Statement of Operations and Departmental Net Financial Position are the amounts reported in the Future-oriented Statement of Operations included in the 2015-16 Report on Plans and Priorities. Planned results are not presented in the "Government funding and transfers" section of the Statement of Operations and Departmental Net Financial Position and in the Statement of Change in Departmental Net Debt because these amounts were not included in the 2015-16 Report on Plans and Priorities.
  2. Net cash provided by Government – The ORSCC operates within the Consolidated Revenue Fund (CRF), which is administered by the Receiver General for Canada. All cash received by the ORSCC is deposited to the CRF, and all cash disbursements made by the ORSCC are paid from the CRF. The net cash provided by Government is the difference between all cash receipts and all cash disbursements, including transactions between departments of the Government.
  3. Amounts due from or to the CRF are the result of timing differences at year-end between when a transaction affects authorities and when it is processed through the CRF. Amounts due from the CRF represent the net amount of cash that the ORSCC is entitled to draw from the CRF without further authorities to discharge its liabilities.
  4. Revenues:
    • Funds received from external parties for annual subscriptions to Canada Supreme Court Reports are recorded upon receipt as deferred revenues. These revenues are recognized on a monthly basis in the fiscal year covered by the annual subscription.
    • 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 ORSCC's liabilities. While the Registrar 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 ORSCC's gross revenues.
  5. Expenses – Expenses are recorded on the accrual basis:
    • Vacation pay and compensatory leave are accrued as the benefits are earned by employees under their respective terms of employment.
    • Services provided without charge by other government departments for accommodation, employer contributions to the health and dental insurance plans, workers' compensation, interpretation services and security services are recorded as operating expenses at their estimated cost.
  6. Employee and federally appointed Supreme Court of Canada judges future benefits:
    1. Employee pension benefits: Eligible employees participate in the Public Service Pension Plan, a multiemployer pension plan administered by the Government. The ORSCC’s contributions to the Plan are charged to expenses in the year incurred and represent the total departmental obligation to the Plan. The ORSCC's responsibility with regard to the Plan is limited to its contributions. Actuarial surpluses or deficiencies are recognized in the financial statements of the Government of Canada, as the Plan's sponsor.
    2. Employee severance benefits: Employees entitled to severance benefits under labour contracts or conditions of employment earn these benefits as services necessary to earn them are rendered. The obligation relating to the benefits earned by employees is calculated using information derived from the results of the actuarially determined liability for employee severance benefits for the Government as a whole.
    3. Federally appointed judges pension benefits: Eligible federally appointed judges and their survivors are entitled to fully-indexed annuities providing that the judges meet minimum age and service requirements. The main benefits paid from this plan are recorded on a pay-as-you-go basis. They are included in the Statement of Operations and Departmental Net Financial Position as a component of salaries and benefits, and the judges' contributions are credited to revenues. Contributions made by the ORSCC and the judges pertaining to the portion of the plan that relates to indexation of benefits are recorded in the Judges' Supplementary Retirement Benefits Account, which is presented in the Statement of Financial Position. The ORSCC's contribution towards indexation is expensed at the time it is accrued in accordance with the Supplementary Retirement Benefits Act. The actuarial liability associated with the judges' pension plan is recorded in the financial statements of the Government of Canada, the ultimate sponsor of the Plan.
  7. Accounts receivable are stated at the lower of cost and net recoverable value. A valuation allowance is recorded for accounts receivable where recovery is considered uncertain.
  8. Tangible capital assets – All tangible capital assets and leasehold improvements having an initial cost of $5,000 or more are recorded at their acquisition cost. The ORSCC does not capitalize intangibles, works of art and historical treasures that have cultural, aesthetic or historical value, assets located on Indian reserves and museum collections.

    Amortization of tangible capital assets is done on a straight-line basis over the estimated useful life of the asset as follows:

    Asset Class Amortization Period
    Machinery and equipment 3 to 10 years
    Computer equipment 3 to 10 years
    Computer software 3 to 10 years
    Office furniture and equipment 5 to 10 years
    Motor vehicles 3 years
    Leasehold improvements 5 years

    Assets under construction are recorded in the applicable capital asset class in the year that they become available for use and are not amortized until they become available for use.
  9. Measurement uncertainty – The preparation of these financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses reported in the financial statements. At the time of preparation of these statements, management believes the estimates and assumptions to be reasonable. The most significant items where estimates are used are the liability for employee future benefits and the useful life of tangible capital assets. Actual results could significantly differ from those estimated. Management’s estimates are reviewed periodically and, as adjustments become necessary, they are recorded in the financial statements in the year they become known.

3. Parliamentary authorities

The ORSCC receives most of its funding through annual parliamentary authorities. Items recognized in the Statement of Operations and Departmental Net Financial Position and the Statement of Financial Position in one year may be funded through parliamentary authorities in prior, current or future years. Accordingly, the ORSCC has different net results 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 current year authorities used
(in dollars)

2016 2015
Net cost of operations before government funding and transfers 42,186,094 41,934,228
Adjustments for items affecting net cost of operations but not affecting authorities:
Amortization of tangible capital assets (347,956) (332,716)
Gain (loss) on disposal of tangible capital assets (7,544) 5,120
Services provided without charge by other government departments (9,795,287) (10,275,188)
Decrease (increase) in vacation pay and compensatory leave (73,792) (49,754)
Decrease (increase) in employee future benefits 80,137 (260,938)
Refund of prior year's expenditures 10,272 13,852
Total items affecting net cost of operations but not affecting authorities (10,134,170) (10,899,624)
 
Adjustments for items not affecting net cost of operations but affecting authorities:
Acquisition of tangible capital assets 264,731 343,436
Transition payments for implementing salary payments in arrears 11,404 597,073
Increase (decrease) in prepaid expenses 11,689 17,674
Total items not affecting net cost of operations but affecting authorities 287,824 958,183
 
Current year authorities used 32,339,748 31,992,787

b. Authorities provided and used
(in dollars)

2016 2015
Authorities provided:
Vote 50 - Operating expenditures 23,732,571 23,585,872
Contributions to employee benefits plan 2,590,341 2,721,883
Judges' salaries, allowances and annuities 7,933,812 6,565,949
Proceeds from the disposal of surplus Crown assets 4,356 5,131
Less:
Authorities available for future years (4,356) -
Lapsed: Operating (1,916,976) (886,048)
 
Current year authorities used 32,339,748 31,992,787

4. Accounts payable and accrued liabilities

The following table presents details of the ORSCC's accounts payable and accrued liabilities:
(in dollars)

2016 2015
Accounts payable - Other government departments and agencies 256,075 448,492
Accounts payable - External parties 387,073 478,991
Total accounts payable 643,148 927,483
Accrued liabilities 1,428,853 1,319,807
Total accounts payable and accrued liabilities 2,072,001 2,247,290

5. Deferred revenues

Deferred revenues represent the balance at year-end of unearned revenues stemming from amounts received from external parties for annual subscriptions to Canada Supreme Court Reports. Revenues are recognized on a monthly basis in the fiscal year covered by the annual subscription. Details of the transactions related to this account are as follows:
(in dollars)

2016 2015
Opening balance - -
Amounts received 6,300 -
Revenue recognized - -
Gross closing balance 6,300 -
Deferred revenues held on behalf of Government (6,300) -
Net closing balance - -

6. Employee future benefits

a. Pension benefits

The ORSCC’s employees participate in the public service pension plan (the "Plan"), which is sponsored and administered by the Government of Canada. Pension benefits accrue up to a maximum period of 35 years at a rate of 2 percent per year of pensionable service, times the average of the best five consecutive years of earnings. The benefits are integrated with Canada/Québec Pension Plans benefits and they are indexed to inflation.

Both the employees and the ORSCC contribute to the cost of the Plan. Due to the amendment of the Public Service Superannuation Act following the implementation of provisions related to Economic Action Plan 2012, employee contributors have been divided into two groups - Group 1 relates to existing plan members as of December 31, 2012 and Group 2 relates to members joining the Plan as of January 1, 2013. Each group has a distinct contribution rate.

The 2015-2016 expense amounts to $1,785,522 ($1,860,679 in 2014-2015). For Group 1 members, the expense represents approximately 1.25 times (1.41 times in 2014-2015) the employee contributions and, for Group 2 members, approximately 1.24 times (1.39 times in 2014-2015) the employee contributions.

The ORSCC's responsibility with regard to the Plan is limited to its contributions. Actuarial surpluses or deficiencies are recognized in the financial statements of the Government of Canada, as the Plan's sponsor.

b. Severance benefits

The ORSCC provides severance benefits to its employees based on eligibility, years of service and salary at termination of employment. These severance benefits are not pre-funded. Benefits will be paid from future authorities. Information about the severance benefits has been measured as at March 31.

As part of collective agreement negotiations with certain employee groups, and changes to conditions of employment for executives and certain non-represented employees, the accumulation of severance benefits under the employee severance pay program ceased for these employees commencing in 2012. Employees subject to these changes have been given the option to be immediately paid the full or partial value of benefits earned to date or collect the full or remaining value of benefits on termination from the public service. These changes have been reflected in the calculation of the outstanding severance benefit obligation.

(in dollars)

2016 2015
Accrued benefit obligation - Beginning of year 1,055,873 794,935
Expense for the year (43,334) 424,745
Benefits paid during the year (36,803) (163,807)
Accrued benefit obligation - End of year 975,736 1,055,873

7. Security Deposit Trust Account

The following table presents details of the ORSCC's Trust Account liability:
(in dollars)

2016 2015
Liability - Beginning of year 392,053 391,882
Deposits - -
Interest 100 171
Reimbursements - -
Liability - End of year 392,153 392,053

The Security Deposit Account was established to record security to the value of $500 deposited by an Appellant with the Office of the Registrar of the Supreme Court of Canada in accordance with paragraph 60(1)(b) of the Supreme Court Act. As per section 87 of the Rules of the Supreme Court of Canada, interest is paid on money deposited as security.

8. Judges' Supplementary Retirement Benefits Account (SRBA)

The following table presents details of the ORSCC's SRBA liability:
(in dollars)

2016 2015
Liability - Beginning of year 1,976,731 1,883,553
Contributions 66,424 64,890
Interest 14,869 28,288
Liability - End of year 2,058,024 1,976,731

The Judges' Supplementary Retirement Benefits Account records contributions made by judges of the Supreme Court of Canada and the matching contributions made by the ORSCC in accordance with the SRBA Act and the Judges Act.

9. Accounts receivable and advances

The following table presents details of the ORSCC's accounts receivable and advances balances:

(in dollars)

2016 2015
Receivables - Other government departments and agencies 37,731 92,639
Receivables - External parties 10,090 8,197
Standing advances 1,650 1,650
Subtotal 49,471 102,486
Allowance for doubtful accounts on receivables from external parties - -
Gross accounts receivable 49,471 102,486
Accounts receivable held on behalf of Government (11,740) (9,847)
Net accounts receivable 37,731 92,639

10. Tangible capital assets

(in dollars)

Cost

Capital Asset Class

 Opening Balance Acquisitions Adjustments Disposals and Write-offs Closing Balance
Machinery and equipment 1,214,895 28,986 (1) (348,951) 894,929
Computer equipment 1,146,943 144,903 1 (465,981) 825,866
Computer software 654,241 - - - 654,241
Office furniture and equipment 1,917,989 90,842 1 (77,551) 1,931,281
Motor vehicles 181,174 - - (27,028) 154,146
Leasehold improvements 9,756,732 - - (8,001) 9,748,731
Assets under construction - - - - -
Total 14,871,974 264,731 1 (927,512) 14,209,194

Accumulated Amortization

Capital Asset Class Opening Balance Amortization Adjustments Disposals and Write-offs Closing Balance
Machinery and equipment 950,892 56,477 (1) (337,051) 670,317
Computer equipment 868,142 105,027 - (465,981) 507,188
Computer software 560,310 55,463 - - 615,773
Office furniture and equipment 1,606,630 87,094 1 (77,551) 1,616,174
Motor vehicles 134,843 18,281 - (27,028) 126,096
Leasehold improvements 9,715,059 25,614 - (8,001) 9,732,672
Assets under construction - - - - -
Total 13,835,876 347,956 - (915,612) 13,268,220

Net Book Value

Capital Asset Class 2016 2015
Machinery and equipment 224,612 264,003
Computer equipment 318,678 278,801
Computer software 38,468 93,931
Office furniture and equipment 315,107 311,359
Motor vehicles 28,050 46,331
Leasehold improvements 16,059 41,673
Assets under construction - -
Total 940,974 1,036,098

11. Contractual obligations

The nature of the ORSCC's activities can result in some large multi-year contracts and obligations whereby the ORSCC will be obligated to make future payments when the services/goods are received. Significant contractual obligations that can be reasonably estimated are summarized as follows:

(in dollars)

2017 2018 2019 2020 2021 and thereafter Total
Goods and services 501,055 30,894 19,893 4,410 - 556,252
Operating leases 56,342 28,991 3,437 - - 88,770
Total 557,397 59,885 23,330 4,410 - 645,022

12. Related party transactions

The ORSCC is related as a result of common ownership to all government departments, agencies, and Crown corporations. The ORSCC enters into transactions with these entities in the normal course of business and on normal trade terms. During the year, the ORSCC received common services which were obtained without charge from other government departments as disclosed below.

a. Common services provided without charge by other government departments

During the year, the ORSCC received services without charge from certain common service organizations, related to accommodation, the employer's contribution to the health and dental insurance plans, workers' compensation coverage, interpretation services and security services. These services provided without charge have been recorded in the ORSCC's Statement of Operations and Departmental Net Financial Position as follows:

(in dollars)

2016 2015
Accommodation 5,414,099 5,325,161
Security services 2,733,970 3,313,431
Employer's contribution to the health and dental insurance plans 1,443,963 1,407,075
Interpretation services 173,794 200,531
Workers' compensation 29,461 28,990
Total 9,795,287 10,275,188

The Government has centralized some of its administrative activities for efficiency, cost-effectiveness purposes and economic delivery of programs to the public. As a result, the Government uses central agencies and common service organizations so that one department performs services for all other departments and agencies without charge. The costs of these services, such as the payroll and cheque issuance services provided by Public Works and Government Services Canada and audit services provided by the Office of the Auditor General are not included in the ORSCC's Statement of Operations and Departmental Net Financial Position.

b. Other transactions with related parties

(in dollars)

2016 2015
Expenses - Other government departments and agencies 6,994,751 6,509,046
Revenues - Other government departments and agencies 108,470 86,395

Expenses and revenues disclosed in (b) exclude common services provided without charge, which are already disclosed in (a).

13. Transfer of the transition payments for implementing salary payments in arrears

The Government of Canada implemented salary payments in arrears in 2014-2015. As a result, a one-time payment was issued to employees and will be recovered from them in the future. Employees that were on leave without pay when the initial one-time transition payments were issued have received the transition payment shortly after their return to work from their leave without pay. The transition to salary payments in arrears forms part of the transformation initiative that replaces the pay system and also streamlines and modernizes the pay processes. This change to the pay system had no impact on the expenses of the ORSCC.  However, it did result in the use of additional spending authorities by the ORSCC. Prior to year end, the transition payments for implementing salary payments in arrears were transferred to a central account administered by Public Services and Procurement Canada, who is responsible for the administration of the Government pay system.

14. Segmented information

Presentation by segment is based on the ORSCC's program alignment architecture. The presentation by segment is based on the same accounting policies as described in the Summary of significant accounting policies in note 2. The following table presents the expenses incurred and revenues generated for the main programs, by major object of expense and by major type of revenue. The segment results for the period are as follows:

(in dollars)

Court Operations Payments to Judges of the Supreme Court of Canada Pursuant to the Judges Act Internal Services 2016
Total 		2015
Total
Operating expenses
Salaries and employee benefits 14,024,383 6,726,142 6,790,518 27,541,043 27,752,910
Accommodation 3,663,271 - 1,750,828 5,414,099 5,325,161
Professional and special services 778,244 59,771 3,467,421 4,305,436 5,158,506
Travel 432,847 1,124,147 4,934 1,561,928 643,085

Library materials

1,007,942 - - 1,007,942 985,677

Materials, office supplies and equipment

90,742 21,552 687,452 799,746 630,231
Equipment rental 148,971 - 535,378 684,349 600,776
Amortization of tangible capital assets - - 347,956 347,956 332,716
Telecommunication services 38,544 1,727 254,554 294,825 275,522
Repairs and maintenance 6,641 298 108,772 115,711 117,165
Printing services 72,046 - 12,957 85,003 94,967
Postage and courier 14,109 175 6,228 20,512 22,614
Loss on disposal of capital assets - - 11,900 11,900 -
Other - - - - 18
Total operating expenses 20,277,740 7,933,812 13,978,898 42,190,450 41,939,348
 
Revenues
Sale of information documents and other fees - - 146,580 146,580 249,026
Pension contribution revenues - 102,779 - 102,779 80,753
Revenues earned on behalf of Government - (102,779) (142,224) (245,003) (324,659)
Total revenues - - 4,356 4,356 5,120
 
Net cost from continuing operations 20,277,740 7,933,812 13,974,542 42,186,094 41,934,228