Canadian Classification of Functions of Government (CCOFOG) 2014

7 - Total outlays

This classification covers total expenditure by the Canadian general government consisting of all federal, provincial-territorial and local government units and all resident non-market NPIs that are controlled by government units. An expense is a decrease in net worth resulting from a transaction. Expenses are those short-term costs which are incurred to earn revenues, e.g., salary paid, rent etc. An expenditure is the sum of expense and the net investment in nonfinancial assets. Expenditure is the long-term cost which is spent on purchase or growth of fixed assets, e.g., payments made to purchase new land or building for business, equipment, etc.

• Exclusion(s)

  • currently, net investment in non-financial assets; and transactions in financial assets and liabilities which would be needed for expenditures

701 - General public services

This division covers government expenditure relating to the administration, development, and management of general public services. General public services includes expenditure on executive and legislative organs, financial and fiscal affairs, external affairs; foreign economic aid; general services; basic research; R&D general public services; general public services not elsewhere classified; public debt transactions; and transfers of a general character between different levels of government.

7011 - Executive and legislative organs, financial and fiscal affairs, external affairs

This group covers the administration, operations, and support of the executive and legislative branches of the Canadian general government. The executive branch encompasses the leader of the political party voted into power as the prime minister and head of government, Cabinet, and the Governor General, who represents the constitutional monarchy in Canada who is recognized as the formal head of state. The legislative branch, formally known as the Parliament of Canada, is comprised of the Senate of Canada (the upper house), as well as the House of Commons (the lower house).
Also included is administration, operation, and support of other heads of government at any other level, such as provincial/territorial premiers, mayors, other local authorities and support staff, facilities, and services to any of the groups mentioned above.
Also included in this group is the administration of financial and fiscal affairs and services at all levels of the Canadian general government. These activities include the preparation of budgets, fiscal projections, annual financial reports; development of taxation, tariff, and financial sector policies and legislation; the operation of the treasury board and the treasury board secretariat, the ministry of finance, provincial and territorial treasuries and ministries of finance, the national revenue agency, and the customs authorities.
This group also includes the administration and operation of Canada's external affairs. These activities include the administration of international relations and agreements, foreign policy matters and advocacy; the operation of Canada's diplomatic and consular missions, libraries and cultural spaces stationed abroad or within the offices of international organizations; distribution of information outside of Canada; and payments for the operating costs of international organizations.

• Exclusion(s)

  • economic aid to developing countries or countries in transition or missions accredited to other countries (See 70121 Economic aid to developing countries and countries in transition)
  • general foreign economic and commercial affairs (See 70411 General economic and commercial affairs)
  • military aid to foreign countries (See 70239 Foreign military aid)
  • Offices of Provincial/Territorial ministries and local government departments that are concerned with a specific function (classified according to function)
  • supervision of the banking industry (See 70411 General economic and commercial affairs)
  • tourism affairs and services (See 70473 Tourism)
  • underwriting or flotation charges and interest payments on government loans (See 70179 Public debt transactions)

7012 - Foreign economic aid

This group covers programs and services which allocate financial international assistance to countries in need of developmental support. These programs and services can be delivered through international, regional, or multinational organizations as well as the various levels of the Canadian general government.
Financial or economic assistance includes any contributions in cash, such as grants and concessional loans with the main objective of economic development. Contributions in kind may include additional costs incurred for the delivery of development services by the Canadian military, bilateral cost of carrying out election monitoring, rehabilitation of injured military and infrastructure, monitoring and training of foreign administrators, civil police work not associated with police training, promotion of cultural and educational facilities, assistance services to refugees, construction of nuclear power plants and nuclear safety programs, and any other activity deemed official development assistance (ODA) eligible by the Organisation for Economic Co-operation and Development (OECD).
Developing countries and countries in transition are those set out by the OECD in the DAC List of ODA Recipients Annex 2 -List of ODA Eligible International Organisations as reported in the Development Co-operation Directorate. Eligible international, regional, and other multinational organizations are those that carry out ODA eligible activities. These organizations are listed in Annex 2 -List of ODA Eligible International Organisations as reported by the OECD in the Development Co-operation Directorate. These organizations include international, Canadian and recipient-based NGOs; public-private partnerships; multilateral organizations such as any United Nations agencies, funds and commissions, European Union institutions, the International Monetary Fund, the World Bank Group, the World Trade Organisation, regional development banks; and educational institutions.

7013 - General services

This group covers services that are not connected with a specific function that are usually undertaken by central offices at various levels of government. It also covers those services connected with a particular function that are undertaken by such central offices. For example, the compilation of industry, environment, health, or education statistics by a central statistical agency, such as Statistics Canada, is included here.

7014 - Basic research

This group covers administration and operation of government agencies engaged in basic research; and grants, loans, or subsidies to support basic research undertaken by non-government bodies such as research institutes and universities. Basic research is experimental or theoretical work undertaken primarily to acquire new knowledge of the underlying foundations of phenomena and observable facts, without any particular application or use in view.

• Exclusion(s)

  • applied research and experimental development (classified by function)

7015 - R&D General public services

This group covers administration and operation of government agencies engaged in applied research and experimental development related to general public services; and grants, loans, or subsidies to support applied research and experimental development related to general public services undertaken by non-government bodies, such as research institutes and universities. Applied research is original investigation undertaken in order to acquire new knowledge, but directed primarily toward a specific practical aim or objective. Experimental development is systematic work, drawing on existing knowledge gained from research and practical experience that is directed to producing new materials, products, and devices; to installing new processes, systems, and services; or to improving substantially those already produced or installed.

• Exclusion(s)

  • basic research (See 70149 Basic research)

7016 - General public services n.e.c.

This group covers administration, operation, or support of general public services, such as registration of voters, holding of elections and referendums, administration of non-self-governing and trust territories, etc.

• Inclusion(s)

  • general public services that cannot be assigned to (7011), (7012), (7013), (7014), or (7015)

• Exclusion(s)

  • public debt transactions (See 7017 Public debt transactions)
  • transfers of a general character between different levels of government (See 7018 Transfers of a general character between different levels of government)

7017 - Public debt transactions

This group covers interest payments and expense for underwriting and floating government loans.

• Exclusion(s)

  • administrative costs of public debt management (See 70112 Financial and fiscal affairs)

7018 - Transfers of a general character between different levels of government

This group covers transfers between different levels of government that are of a general character and not allocated to a particular function. Examples of transfers include the following:
- Equalization payments
- Canada Health Transfer
- Canada Social Transfer

Equalization is the Government of Canada's transfer program for addressing fiscal disparities among provinces. The purpose of the program was incorporated in the Canadian Constitution in 1982 enabling less prosperous provincial governments to provide their residents with public services that are reasonably comparable to those in other provinces, at reasonable comparable levels of taxation.

The Canada Health Transfer provides long-term predictable funding for health care, and supports the principles of the Canada Health Act which are: universality; comprehensiveness; portability; accessibility; and public administration. The Canada Health Transfer payments are made on an equal per capita cash basis.

The Canada Social Transfer is a federal block transfer to provinces and territories in support of post-secondary education, social assistance and social services, and early childhood development and early learning and childcare. The Canada Social transfer is calculated on an equal per capita cash basis to reflect the Government's commitment to ensure that conditional transfers provide equal support for all Canadians.