financial reports information session - montréal - english

Canada Foundation for Innovation

“New Tools for the New Economy”

Financial Reports Information Session

2

Financial Reports Information SessionAgenda

Award finalization General information on financial reports Accessing and editing the report Completing the report Final reports - Additional requirements Printing and submitting the report Other topics (records keeping, contribution audits) Examples of financial reports for on-going and final projects Question period


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Award Finalization

Documents to be provided to CFI : Itemized list

Summary of Secured Contributions

Confirmation of Award Conditions

Award Agreement Confirms maximum CFI amount, total eligible costs per

Itemized list and agreed CFI share of eligible costs

Planned instalments

Signed by President or Designated representative AND Account Administrator


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General Information

Submission requirements:

June 15th of every year for the previous April 1 to March 31 period (cumulative results)

Need to submit if funding has been received at March 31

Need to submit every year until project is completed

Final report and request for last payment is due within 6 months of end of project


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General Information

Information to include in the report:

Actual expenditures and cash flow projections (for ongoing projects)

Forecasted eligible costs and contributions per the award agreement

Revised eligible costs and contributions at the reporting date

Explanation for significant variances between original plan for the project and the actual or forecast plan

Funding sources (actual and forecasted)


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General Information

Use of financial reports by CFI:

Assess if project is on track Assess appropriateness of cash flow projections for future

instalments for multi-year projects

Verify that CFI’s contribution will not exceed agreed CFI share of eligible costs

Determine the portion of the holdback to be released every year

Ensure sufficient resources available (when requested in agreement)

For final reports, certification that project has been completed and that matching funds have been received and spent

For final reports, determine the final payment to be made by CFI.


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Accessing and Editing the Report

How to access the report:

Template is on CFI’s web site at www.innovation.ca

Located in the Forms and Download section of the web site

Password required to access the report


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How to access the report:

Enter the project number to access the Project Financial Reports screen


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How to edit the report:

Sequential screens to facilitate original data entry


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Completing the Report

Overview of project funding


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Completing the Report Total eligible contributions from partners

(Lines 5 to 12)


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Completing the ReportTotal eligible costs - Actual and forecast

(Lines 13 to 23)


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Total eligible costs (Attachment):

Need to complete for FINAL reports only

Provides a detailed list for each expenditure type presented at lines 13 to 22

List needs to be created separately using either Word, WordPerfect, Excel, Lotus 1-2-3 or a PDF file format and attached to the report

Screen example


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Format of the List should be the same as the Itemized list provided to finalize the award agreement and should make reference to the specific line number of the financial report Example

Line # Description Estimatedcost perItemized

Listprovided to

finalizeaward

agreement

Actual cost incurred

13. Purchase of equipment or facility:Description 1 $10,000 $10,120Description 2 $11,500 $11,250Description 3 $13,000 $11,000Total – Line 13* $34,500 $32,370

(Lines 14 to 22 to follow same example)


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Completing the Report Actual or forecast contribution (Lines 1 to

4)


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Completing the Report List of in-kind contributions


19

Completing the Report Details of eligible funding from eligible

partners


20

Completing the Report Financial resources for operations


21


Differences between original and actual or forecast plan:

Required to provide explanation of significant variances (greater of 10% of CFI’s contribution or $50,000) in :

• forecast contributions VS actual/forecast contributions• forecast expenditures and actual/forecast expenditures• time required for development/acquisition/installation

of infrastructure• actual or planned use of infrastructure used for

research and other purposes• actual and forecast operating costs and funding

available for operating costs


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Differences between original and actual or forecast plan:

Must also explain how identified problems have been or will be corrected

Info used by CFI to :

• assess adequacy of timing of cash disbursements• appropriateness of CFI % of funding• assess adequacy of corrective actions

Level of details provided must be sufficient to allow CFI to make above assessment


23

Completing the Report Request for final payment


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Final Reports - Additional Requirements

Final Reports - Additional Requirements:

Complete the “Details of eligible funding from eligible partners”, “Total eligible costs (Attachment)” and “Final report - Request for final payment” section of the financial report

Submit a hard copy of the financial report with original signatures (in addition to submission on the web)

Signatures of the Account Administrator and from the CEO or an authorized representative required

Note : Final holdback only released after reception of the signed hard copy


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Printing and Submitting the report

Printing and submitting the report:

A hard copy of the report can be printed by clicking on the Print icon in the “Project Financial Report” screen (Screen example - slide 9)

Recommend that print the report and verify accuracy before submitting

A verification outline is included in the instructions manual to assist in the verification of accuracy

Report should be submitted electronically by the account administrator


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Printing and Submitting the report

Printing and submitting the report:

Two security levels:

• Data entry• Submission (Account administrator)• Passwords required

Finance contact at the institution - Communicate to CFI if this person is other than the Account Administrator


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Planned Improvements andCFI Contacts

Planned Improvements List of projects with report due by June 15

Access to planned instalments By Project By Date

Feedback on CFI review of reports submitted

Your suggestions are always welcome Questions and comments should be addressed to:

Christine Charbonneau Manon HarveyManager, Finance Vice-President, Corporate ServicesTel: (613) 943-1289 Tel: (613) [email protected] [email protected]


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Records Keeping

Institutions must maintain financial records and project accounts with revenues for each CFI award

Records must identify various eligible funding sources and eligible costs

Need to maintain a verifiable audit trail for all eligible cost (including in-kind contributions)

Need to keep all supporting documentation for at least 5 years following completion of a project

No need to submit documentation to CFI unless requested


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Contribution Audits

CFI performs an audit of all projects with total eligible costs of more than $10 million

CFI reserves the right to review and audit any project A representative sample of reports will be reviewed every

year Institutions will be notified when one of its projects is

selected for an audit


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Contribution Audits

Discussion and tests performed by auditors General accounting and controls over funds received

Procurement policies and procedures (for assets purchased)

Method of evaluating in-kind contributions

Selected vouching of support documentation for expenditures

Preparation of financial reporting to CFI

Tour of the facilities/equipment related to the project

Information to be prepared by the institution before the audit List of people to meet during the audit (Research, Finance, …)

Invoices of assets purchased and backup for in-kind contributions

Bids solicited for construction and for purchase of equipment

Summary of eligible costs incurred and contributions received


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Question Period

financial reports information session - montréal - english

Documents

report actual

report request

report differences

report format

final report request

report financial resources

report screen example

eligible partners