Category : Costing

The Cost of Canada’s Surface Combatants: 2019 Update

This report provides an updated cost estimate of the Canadian Surface Combatant (CSC) program from the 2017 PBO report, “The Cost of Canada’s Surface Combatants.”

Election Proposal Costing Baseline

This report provides PBO’s economic and fiscal baseline projection for the 2019 election proposal costing period.

Cost Estimate of Full Expensing for Depreciable Property

In response to a request from a member of Parliament, the PBO has prepared a cost estimate of the federal government introducing 100% expensing to match the recent U.S. tax change in the Tax Cuts and Jobs Act (TCJA). The cost estimate is based on 100% expensing for eligible property from 2019 to 2023, which is then phased-out and reduced by 20% per year beginning in 2024.

Closing the gap: carbon pricing for the Paris target (Revised June 20, 2019)

This report provides an estimate of the additional carbon price that would be needed to achieve Canada’s greenhouse gas emissions target in 2030 under the Paris Agreement, as well as an estimate of the corresponding impact on the Canadian economy.

Cost Estimate of the Removal of GST from Residential Energy Use (Revised)

This report is a response to a motion adopted by the House of Commons Standing Committee on Finance to estimate the financial cost of private Members’ bills and motions on the Order of Precedence in the House of Commons. Motion M-230 was placed on the Order of Precedence on 11 April 2019 and states that the government should remove the Goods and Services Tax (GST) from home energy bills.

Costs Associated with Replacing the Federal Pay System

This report provides an independent estimate of the cost of replacing the Phoenix pay system, the current payroll processing system that administers pay for federal public servants.

Costing Budget 2019 Measures

In preparation for the upcoming 2019 federal general election, PBO used the Budget 2019 as an
opportunity to assess its existing capacity to cost a variety of policy initiatives within a limited period.

Fiscal and Distributional Analysis of the Federal Carbon Pricing System (Revised May 23, 2019)

This report provides a fiscal and distributional analysis of implementing a federal carbon pricing system in Ontario, New Brunswick, Manitoba and Saskatchewan. PBO estimates that the federal government will generate $2.63 billion in carbon pricing revenues in 2019-20. The vast majority of revenues ($2.43 billion) will be generated through the fuel charge; the balance, roughly $197 million, will be generated by output-based pricing. Households will largely bear the cost of the pricing system through their consumption of energy used for residential and transport purposes, and carbon charges embodied in non-energy products.  Regions currently using carbon-intensive energy can expect higher costs.  The federal government has stated that all proceeds from the fuel charges will be returned directly to households and particularly affected sectors in Ontario, New Brunswick, Manitoba, and Saskatchewan. Except for the richest 20%, most households will be better off on a net basis because the amount of the rebate will exceed their average carbon cost.

Cost Estimate for Implementing Structured Intervention Units as set out in Bill C-83 and Related Proposals

Bill C-83 would replace segregation of inmates with structured intervention units (SIUs). SIUs would offer inmates a minimum of two more hours of time out of their cell per day and greater opportunities to participate in correctional interventions. Canada’s 2018 Fall Economic Statement allocated $300 million over six years and $71.7 million ongoing, towards staffing and other resources required to run SIUs. We believe this is an appropriate level of funding for CSC’s expected number of SIUs and associated staffing.

Bill C-266: Increasing the duration of parole ineligibility

In February 2016, the Standing Committee on Finance of the House of Commons requested that the PBO provide a detailed and comprehensive costing analysis of private members bills and motions appearing on the Private Member’s Business Order of Precedence. Bill C-266, which increases parole ineligibility for certain offenders, was placed on the Order of Precedence on 1 November 2018. This report provides an estimate of the cost of implementing Bill C-266.

Projecting the Revenue and Expenses of Canada Student Loans Program

This report provides a description of the PBO model and an estimate of the revenues and expenses associated with the direct loans regime of Canada Student Loans Program (CSLP).   

Cost Estimate of an Increase in the Duration of Employment Insurance (EI) Sickness Benefits

This report provides a cost estimate for a measure that would extend the duration of employment insurance (EI) sickness benefits from 15 weeks to 50 weeks.

Costing of a 360-hour Eligibility Threshold for Sickness Benefits

This report provides a cost estimate for a measure that would reduce the eligibility threshold necessary to claim sickness benefits from 600 to 360 hours of insurable employment.

 

The impact of the Canada – United States – Mexico Agreement on prescription drug expenditures in Canada

This report estimates the additional pharmacy-dispensed prescription drug expenditures for Canadian consumers that would result from the Canada-United States-Mexico Agreement (CUSMA). A two-year extension of data protection for biologics will delay the introduction of biosimilars for some expensive drugs. This would likely keep prices higher than they otherwise would have been.

 

Fiscal Analysis of the Interim F-18 Aircraft

This report presents a fiscal analysis of the Government of Canada’s purchase of 18 used F-18 aircraft from Australia.

The cost differential between three regimes of Veterans Benefits - Update: Get the code

The Government of Canada has had three different regimes for veterans benefits since 2006:  the Pension Act (up to 2006); the Veterans Well-being Act (from 2006 to 2019); and, Pension for Life (which takes effect on April 1, 2019).

Several parliamentarians requested that the Parliamentary Budget Officer (PBO) prepare an estimate of the fiscal cost of each of these regimes over the medium term.

Canada’s purchase of the Trans Mountain Pipeline – Financial and Economic Considerations - Update

This report provides financial and economic analysis relating to the Government of Canada’s purchase of the Trans Mountain Pipeline, Expansion Project and related assets.

Canada’s purchase of the Trans Mountain Pipeline – Economic and Financial Considerations

This report provides financial and economic analysis relating to the Government of Canada’s This report provides financial and economic analysis relating to the Government of Canada’s purchase of the Trans Mountain Pipeline, Expansion Project and related assets.of the Trans Mountain Pipeline, Expansion Project and related assets.

Cost Estimate for Bill C-399 “Fairness for Persons with Disabilities Act”

This report responds to a request of Mr. Tom Kmiec, the member for Calgary Shepard, to estimate the financial cost of Bill C-399, which broadens eligibility for the disability tax credit for persons spending extensive time on therapy to support their vital functions.

Costing 2018 Fall Economic Statement and Off-Cycle Measures

In preparation of the upcoming 2019 federal general election, PBO used the 2018 Fall Economic Statement as an opportunity to assess its existing capacity to cost a variety of policy initiatives within a short period of time.