program review – a canadian case study j. bourgon p.c., o.c. canada, may 2009
TRANSCRIPT
PROGRAM REVIEW – A Canadian Case Study
J. Bourgon P.C., O.C.Canada, May 2009
Learning From the Past
• 1975-1984:
• Growing deficits and debt (1975)• Chronic deficit (1978 )• A divergent course (1982)
• Growth, prosperity (Post-War)
Federal Net Debt
0
10
20
30
40
50
60
70
80
1961-62 1966-67 1971-72 1976-77 1981-82 1986-87 1991-92 1996-97 2001-02 2006-07
Year
Perc
ent o
f GD
P
Federal Budgetary Surplus or Deficit
-10
-8
-6
-4
-2
0
2
4
1961-62 1966-67 1971-72 1976-77 1981-82 1986-87 1991-92 1996-97 2001-02 2006-07
Year
Perc
ent o
f GD
P
1982
1978
Changing Course
• 1984-1993: A balanced operating budget, structural reforms and agenda overload
• Across the board cuts• A balanced operating budget (1987-88)• Not enough, not fast enough
• Structural reforms• Canada-USA Free Trade and NAFTA• Tax reform• Cap on transfers
Federal Net Debt
0
10
20
30
40
50
60
70
80
1961-62 1966-67 1971-72 1976-77 1981-82 1986-87 1991-92 1996-97 2001-02 2006-07
Year
Perc
ent o
f GD
P
Federal Operating Surplus or Deficit
-4
-2
0
2
4
6
8
1961-62 1966-67 1971-72 1976-77 1981-82 1986-87 1991-92 1996-97 2001-02 2006-07Year
Perc
ent o
f GD
P
Federal Budgetary Surplus or Deficit
-10
-8
-6
-4
-2
0
2
4
1961-62 1966-67 1971-72 1976-77 1981-82 1986-87 1991-92 1996-97 2001-02 2006-07
Year
Per
cent
of G
DP
Charting a new course -1993-99
• The approach
• One team • A free hand• No target
• The process
• Common guidelines
Program Review Test: Decision Tree
Role of Government Test
Public Interest Test
Federalism Test Partnership Test
Efficiency Test
Affordability Test
Ab
an
do
n / T
rans
fer
Charting a new course -1993-00
• The approach
• One team • A free hand• No target
• The process
• Common guidelines• The machinery
• DMs committee• Cabinet committee• PM and Cabinet
• The chronology
Federal Budgetary Surplus or Deficit
-10
-8
-6
-4
-2
0
2
4
1961-62 1966-67 1971-72 1976-77 1981-82 1986-87 1991-92 1996-97 2001-02 2006-07
Year
Per
cent
of G
DP
Federal Net Debt
0
10
20
30
40
50
60
70
80
1961-62 1966-67 1971-72 1976-77 1981-82 1986-87 1991-92 1996-97 2001-02 2006-07
Year
Perc
ent o
f GD
P
Cumulative Provincial/TerritorialSurplus or Deficit
-3
-2.5
-2
-1.5
-1
-0.5
0
0.5
1993-94 1994-95 1995-96 1996-97 1997-98 1998-99 1999-00
Year
Changes in Federal Department Spending 1997-98 Realtive to 1994-95
Indian & Northern Aff airs
Regional Agencies
Industry - Department
Transport
Natural Resources
Human Resources Dev.
Environment
Fisheries & Oceans
Industry - S&T
Heritage and Culture
Agriculture
International Assistance
Foreign Aff airs & Int'l Trade
General Government Services
Defense
Veterans Aff airs
Parliament & Governor General
Citizenship and Immigration
Canada Mortgage & Housing
J ustice
Solicitor General
Health
-80 -60 -40 -20 0 20
Percent Reduction
Public Service Employment
0
50,000
100,000
150,000
200,000
250,000
1993 1994 1995 1996 1997 1998
Year
PROGRAM REVIEW – A Canadian Case Study
