Archived — 2013–14 Report on Plans and Priorities

Archived information

Information identified as archived on the Web is for reference, research or recordkeeping purposes. It has not been altered or updated after the date of archiving. Web pages that are archived on the Web are not subject to the Government of Canada Web Standards. As per the Communications Policy of the Government of Canada, you can request alternate formats on the "Contact Us" page.

Section II: Analysis of Programs by Strategic Outcome

Strategic Outcome: A Competitive Southern Ontario Economy

While the region has more than recouped all of the output and jobs lost during the global recession, the southern Ontario economy remains under significant pressure. Nonetheless, southern Ontario has a number of competitive advantages, including a well-educated and diverse population; an excellent network of higher learning institutions; a business-friendly environment; a vibrant small business community; key economic clusters; and proximity and access to US and international markets.

FedDev Ontario will build on these competitive advantages and leverage key relationships within the region to improve the competitiveness of the southern Ontario economy moving forward.

FedDev Ontario will focus its efforts in 2013–14 on four programs: Technological Innovation, Business Development, Community Economic Development, and internal services. Through these programs the Agency will continue to deliver key programs and services to individuals, businesses, communities, and other key stakeholders across southern Ontario and strengthen its profile as a viable partner in economic development.

Strategic Outcome: A competitive southern Ontario economy
Performance Indicators Targets

Footnotes

Footnote4 Similar economies include Quebec, New York, Michigan, Pennsylvania, and Massachusetts. (Return to first footnote 4 referrer)

Ontario gross domestic product in comparison to similar economies Footnote 4 An annual economic growth rate comparable or exceeding the average growth rate of similar economies
Ontario employment rate in comparison to similar economiesFootnote 4 An employment rate comparable or exceeding the average employment rate of similar economies

Program 1.1: Technological Innovation

Program Descriptions

This program is intended to support the southern Ontario economy to be more innovative by creating new products, services, processes and markets so as to contribute to the region's competitiveness. This will be achieved by: encouraging the region's labour force to be more innovative; focusing on key emerging sectors; and by strengthening linkages between the region's businesses (especially SMEs) and its post-secondary institutions. These are the elements necessary to improve the region's productivity, accelerate economic growth and maintain and enhance the region's living standards in the context of a global knowledge-based economy. Transfer payments in support of this program are made through a variety of initiatives under the authority of the SODP through the administration of contribution agreements with businesses, not-for-profit organizations, and post-secondary institutions.

Financial Resources ($ millions)
Total Budgetary
Expenditures
(Main Estimates)
2013–14
Planned Spending
2013–14
Planned Spending
2014–15
Planned Spending
2015–16
62.8 62.8
Human Resources (FTE)Footnote 5
2013–14 2014–15 2015–16

Footnotes

Footnote 5 FTE requirements for 2014–15 and beyond will be confirmed upon renewal of the Agency's core programming beyond 2013–14. (Return to footnote 5 referrer)

21
Analysis of programs by strategic outcomes— Technological Innovation: Program expected results, performance indicators, targets
Program
Expected Results
Performance Indicators Targets

Footnotes

Footnote6 Data for this indicator is based on the nine economic regions identified by Statistics Canada that make up southern Ontario. These regions align with 37 census divisions identified as part of the Agency's mandate, except that the census division of Muskoka is included in one of the nine economic regions. (Return to footnote 6 referrer)

Footnote 7 Highly skilled personnel is defined by Statistics Canada as "individuals with university degrees at the bachelors' [sic] level and above" (Michael McKenzie, "A Profile of Canada's Highly Qualified People," Innovation Analysis Bulletin, 9, 2 (October 9, 2007), 29‑32). (Return to footnote 7 referrer)

Footnote8 The KIBS subsector includes establishments whose primary activities depend on human capital, knowledge, and skills. The KIBS final product is a consulting service and knowledge transfer. Other than being knowledge intensive, these services are intermediary (i.e., services intended for businesses). (Return to footnote 8 referrer)

Southern Ontario has a strong knowledge-based economy Number of people in the labour force in southern Ontario that are considered "highly qualified personnel" Footnote 6 Footnote 7 2,183,400 people
Share of Ontario's employment in knowledge-intensive business services (KIBS) Footnote 8 6.0%
Analysis of programs by strategic outcomes— Technological Innovation: Sub-program expected results, performance indicators, targets
Sub-program
Expected Results
Performance Indicators Targets
More children and youth in southern Ontario are aware of STEM-related fields of study and/or careers Number of children/youth enrolled in Agency supported STEM awareness programs 150,000
Southern Ontario STEM graduates and graduate students have the business skills to work in STEM-related areas of employment Number of STEM graduates and graduate students participating in internships or commercial fellowships as a result of Agency funding 100
Number of STEM graduate students/recent graduates who have participated in business skills training funded by the Agency who are subsequently employed or self-employed in STEM-related fields 50
Southern Ontario businesses are able to bring innovative ideas to market Number of organizations able to advance their innovations closer to market (e.g., product and applied research, engineering design, product design) 30
Ratio of collaborations leveraged per project 2:1

Planning Highlights

In 2013–14, the Technological Innovation program will be supported by the three sub-programs below, each of which is made up of distinct SOAIs under the SODP that will deliver funding through contribution agreements with businesses, not-for-profit organizations, and post-secondary institutions. Through the Youth STEM, GEI, SEB, and the TDP initiatives, as well as outreach and engagement activities, the Agency will continue to facilitate the development of the partnerships necessary to improve innovation and commercialization and advance the interests of southern Ontario. The Agency will continue to look for synergies between its many programs, resulting in greater program impact and additional economic activity. A comprehensive, risk-based monitoring plan for funded projects will ensure that SODP objectives and targets are met. Together, these efforts will contribute to making the southern Ontario economy more innovative, productive, and ultimately, competitive.

Science, Technology, Engineering, and Mathematics Awareness

Through its Youth STEM initiative, FedDev Ontario will continue to pursue projects in the upcoming fiscal year with the broadest reach and greatest potential to promote an improved STEM knowledge base in southern Ontario in an effort to address both current and anticipated skill shortages in STEM-related fields. In 2013–14, priority will be given to projects that encourage Aboriginal and Francophone children and youth to become highly qualified personnel and business leaders of the future. The Agency will also collaborate with delivery partners to support the development of a pilot training program that will encourage critical thinking and entrepreneurship skills, along with an appreciation of science and technology. By March 31, 2014, it is anticipated that up to 1.8 million additional youth and children will participate in activities that foster interest in STEM-related careers.

Skills Development

To ensure the region has strong human capital to compete on a global scale, FedDev Ontario's GEI and SEB initiatives will help build the business skills of recent STEM graduates in southern Ontario to complement their technical expertise.

Through GEI, the Agency will support post-secondary institution efforts to place graduate interns into small, innovative firms in southern Ontario by leveraging its connections with industry associations, Community Futures Development Corporations (CFDCs), and SMEs. In addition, FedDev Ontario will encourage neighbouring universities and colleges to work together to maximize their impact and efficiency in locating internship opportunities within SMEs. This will ensure that more graduate placements are achieved and will result in enhanced learning experiences for graduates while also contributing to the Agency's efforts to spur greater innovation in SMEs located in smaller communities across southern Ontario. SMEs will also benefit by being able to access employees that have been trained with the newest and best equipment. The Agency anticipates that over the duration of the GEI initiative approximately 1200 STEM graduates will receive internship positions and mentorship in SMEs across southern Ontario.

The SEB initiative will continue to encourage STEM graduates in southern Ontario to commercialize their technologies and will continue to promote the next generation of entrepreneurs. In addition to colleges and universities, the Agency has now partnered with several not-for-profit research and commercialization centres in southern Ontario to address the growing needs of STEM graduates in support of the SEB initiative. By funding a mix of organizations in various locations, the Agency will ensure that its funding is available and accessible across southern Ontario. FedDev Ontario anticipates that by March 31, 2014, approximately 300 start-up firms will have received financial and mentoring support and more than 500 STEM graduates will have been trained in skills needed for successful entrepreneurship as a result of SEB support.

Technology Development and Commercialization

Southern Ontario's abundance of high-performing universities and colleges provides a resource to assist businesses and large-scale collaborations in addressing their research and commercialization needs. Post-secondary institutions have the ability to undertake applied research, support the development of new technologies, and advance the commercialization of existing SME technologies in the marketplace.

The pilot ARC initiative seeks to address the gap between research and commercialization. In 2013–14, the Agency will build on results from a survey of ARC participants and other assessment tools to help develop longer term approaches that are effective and relevant to the needs of SMEs in southern Ontario.

Through TDP, FedDev Ontario will continue to fund large, leading-edge innovations developed by the private sector in conjunction with investors and not-for-profit, academic, and research institutions. Entities will work together through the TDP to accelerate the development of large-scale, advanced technologies, platforms, or clusters that will help to position southern Ontario as a leader in the health, water, communications, and environmental sectors. In 2013–14, the Agency will continue to identify and leverage new opportunities and partnerships as these projects develop.

top of page

Program 1.2: Business Development

Program Descriptions

This program aims at supporting the 360,000 businesses (especially SMEs) in southern Ontario in their efforts to drive competitiveness by providing funding to encourage the creation of start-up companies, helping existing businesses to expand, and helping companies improve their productivity. Transfer payments in support of this program are made through a variety of initiatives under the authority of the SODP through the administration of contribution agreements with businesses, not-for-profit organizations, and post-secondary institutions.

Financial Resources ($ millions)
Total Budgetary
Expenditures
(Main Estimates)
2013–14
Planned Spending
2013–14
Planned Spending
2014–15
Planned Spending
2015–16
90.4 90.4
Human Resources (FTE)Footnote 9
2013–14 2014–15 2015–16

Footnotes

Footnote 9 FTE requirements for 2014–15 and beyond will be confirmed upon renewal of the Agency's core programming beyond 2013–14. (Return to footnote 9 referrer)

32
Analysis of programs by strategic outcomes—Business development: Program expected results, performance indicators, targets
Program
Expected Results
Performance Indicators Targets

Footnotes

Footnote 10 Statistics Canada 2013 intention figures to be released February 27, 2013. (Return to footnote 10 referrer)

Southern Ontario businesses are able to respond to future economic challenges Private investment in machinery and equipment in Ontario To support businesses to meet or exceed their 2013 investment intentionsFootnote 10
Ontario's labour productivity (real gross domestic product per hour) $42.38
Analysis of programs by strategic outcomes—Business development: Sub-program expected results, performance indicators, targets
Sub-program
Expected Results
Performance Indicators Targets
Southern Ontario entrepreneurs have access to capital to help commercialize new products, processes, or systems Number of businesses in southern Ontario that have received funding to commercialize new products, processes, or systems as a result of Agency support 40
Ratio of funding leveraged from other sources to Agency funding 2:1
Southern Ontario businesses have enhanced capacity to support innovation and improve productivity Number of new products, services, processes, practices, skills, and technologies developed as a result of Agency funding 300
Number of economic clusters created, maintained, or expanded as a result of Agency support 10

Planning Highlights

The Business Development program consists of the Business Investment and Business Productivity and Innovation sub-programs as detailed below. Two of FedDev Ontario's SOAIs—the Investing in Business Innovation (IBI) and Prosperity Initiative (PI)—directly support these sub-programs and will work to deliver funding to, and enhance the productivity of, SMEs that are adopting new technologies aimed at improving their markets and creating jobs for Canadians.

The Business Development program will encourage collaborations between SMEs and post-secondary institutions to ensure that the area's wealth of technical knowledge contributes to stronger businesses that are able to respond and adapt to future economic challenges. Furthermore, by promoting partnerships between start-up businesses and angel and venture capital investors, the Agency will foster the entrepreneurial potential of the region and contribute to the establishment of successful and innovative businesses with long-term sustainability.

Business Investment

Through the IBI initiative, FedDev Ontario will continue to encourage stakeholders, such as angel investor networks, venture capital funds, and innovation centres, to support high-growth start-up business opportunities in innovative new technologies in 2013–14. The Agency will also leverage investments from these sources to accelerate development and commercialization of new products and ideas. As projects move forward, the Agency will continue to monitor its project portfolio by using a risk-based approach and will provide high-value client service to more than 70 start-up businesses, eight regional angel networks, and two provincial angel organizations. Supporting start-up businesses with the capability to leverage domestic or foreign angel and venture capital investments to develop innovative technologies and products, primarily in priority sectors, will continue to be a focus of IBI in 2013–14. By its conclusion, IBI will have supported over 80 SME projects (leveraging $147 million), as well as the growth of two angel network organizations and 11 angel networks.

Business Productivity and Innovation

The PI will provide financial support to projects developed by businesses, not-for-profit organizations, and post-secondary institutions in southern Ontario that will result in improved productivity and competitiveness and economic growth in the region. Through its investment in new technologies and industries, the PI will generate long-term economic growth and employment opportunities for people with high-level skills and assist southern Ontario in building competitive advantages. In 2013–14, the Agency will continue to support the diversification of economies that rely on a small number of industries. It will support manufacturers' efforts to improve productivity and will invest in collaborations between SMEs and post-secondary institutions to capitalize on research that can be commercialized in key growth sectors in southern Ontario.Footnote 11 It will also support manufacturing in the region that has the potential to generate broad, positive impacts on southern Ontario supply and value chains, creating and sustaining jobs in the process.

In addition, FedDev Ontario will support SMEs that export or are part of exporting value chains by encouraging the adoption of information systems, equipment, and other technologies and processes that will improve their productivity, enhance their global competitiveness, increase market opportunities, and create jobs. The Agency will also support training to increase workforce knowledge and productivity in southern Ontario SMEs. It will continue to monitor the performance of projects and help clients make linkages with other stakeholders to strengthen the impact of their activities. By March 31, 2014, approved projects are anticipated to impact 1100 SMEs (both directly and through third parties) and create thousands of jobs in southern Ontario.

top of page

Program 1.3: Community Economic Development

Program Descriptions

This program supports the 288 communities (small and large, rural and urban, Francophone and Aboriginal) in southern Ontario that are home to 12.4 million residents. These communities are key to enhancing southern Ontario's economic competitiveness and the long-term prosperity of the region. Southern Ontario depends on communities that can attract the best talent and compete for investment as dynamic centres of commerce and learning. Strong communities contribute to a prosperous southern Ontario. Through this program, the Agency will continue to support communities and regions throughout southern Ontario to identify local solutions to local challenges and opportunities. Strong, safe and modern communities are essential building blocks for the region's competitiveness and long-term prosperity. FedDev Ontario will continue to work with others, including Infrastructure Canada, the Province and communities, to support the infrastructure needs within southern Ontario.

Transfer payments in support of this program are made through a variety of initiatives under the authority of the CFP, the Economic Development Initiative, EODP and infrastructure programming like the Building Canada Fund. The Agency will support this program through the administration of contribution agreements with businesses, not-for-profit organizations, post-secondary institutions and municipalities.

Financial Resources ($ millions)
Total Budgetary
Expenditures
(Main Estimates)
2013–14
Planned Spending
2013–14
Planned Spending
2014–15
Planned Spending
2015–16
55.4 55.4 14.9 14.9
Human Resources (FTE)Footnote 12
2013–14 2014–15 2015–16

Footnotes

Footnote 12 FTE requirements for 2014–15 and beyond will be confirmed upon renewal of the Agency's core programming beyond 2013–14 (Return to footnote 12 referrer)

46
Analysis of programs by strategic outcomes—Community economic development: Program expected results, performance indicators, targets
Program
Expected Results
Performance Indicators Targets
Southern Ontario communities have strong economies able to sustain long-term economic development and growth Percentage of southern Ontario census subdivisions (CSDs) with a decrease in employment insurance beneficiaries (year-over-year) 50% or more of southern Ontario CSDs have a decrease in employment insurance beneficiaries (year-over-year)
Analysis of programs by strategic outcomes—Community economic development: Sub-program expected results, performance indicators, targets
Sub-program
Expected Results
Performance Indicators Targets
Rural communities in southern Ontario have strong economies to help respond to future economic challenges Number of businesses in rural southern Ontario that have been created, maintained, or expanded as a result of CFP funding 2,100
Number of jobs created or maintained in rural southern Ontario communities as a result of CFP funding 6,300
Ratio of funds raised from other sources to CFP investments 1.7:1
Eastern Ontario communities have strong economies able to respond to future economic challenges Number of businesses created, maintained, or expanded in eastern Ontario communities participating in EODP 500
Number of jobs created or maintained in eastern Ontario communities participating in EODP 5,000
Ratio of funds raised from other sources to federal EODP investments 2:1
Southern Ontario infrastructure is able to support future economic development and growth Number of infrastructure projects funded and/or administered by the Agency 377
Number of completed infrastructure projects funded and/or administered by the Agency 360
Funds leveraged from other sources through infrastructure programming funded and/or administered by the Agency 1:1

Planning Highlights

FedDev Ontario will continue to support business retention and growth in southern Ontario through collaboration and development of partnerships with key stakeholders and continued investment in communities across Ontario through the CFP, the EODP, the CIIF, and programming delivered on behalf of Infrastructure Canada.

In 2013–14, the Agency will continue to work and partner with local organizations to encourage smaller and rural communities to become more innovative and build on their existing economic strengths. In addition, it will invest in targeted economic development initiatives, including the modernization of infrastructure, in an effort to increase the productivity and competitiveness of communities across all of Ontario. The following sub-programs will assist communities experiencing long-term economic challenges in implementing new opportunities that will create jobs and growth while supporting the continued delivery of infrastructure programming.

Community Futures Program

In 2013–14, FedDev Ontario will continue to provide funding to CFDCs through the CFP. These funds will assist rural communities in developing their local economy and long-term sustainability along four business lines: strategic community planning and priorities, community economic development projects, business services, and business loans to SMEs.

In southern Ontario, a performance-based funding model supports excellence in program delivery. Under this model, CFDC performance is assessed against key indicators. Individual CFDCs showing measurable results will be rewarded as an incentive to maximize operational effectiveness. The Agency has also engaged external stakeholders in the development of program enhancements, which will be implemented in 2013–14. These measures are designed to strengthen the performance of these ground-level organizations so they can best respond to economic circumstances within their local communities.

Eastern Ontario Development Program

Through the EODP, FedDev Ontario will continue to help address the economic challenges and create innovative opportunities in eastern Ontario in 2013–14. Delivered by the 15 CFDCs in eastern Ontario, the EODP will help lead to a diversified and competitive eastern Ontario economy and contribute to the successful development of businesses and prosperous communities. In 2013–14, the EODP will continue to provide funding to projects in two key areas: business development and community innovation. The EODP investments will seek to ensure that communities and organizations in eastern Ontario (especially those collaborating in projects across rural and urban areas) are working together to combat economic structural challenges.

Official Language Minority Communities

As part of the Government of Canada's commitment to enhancing the vitality of official language minority communities (OLMCs) across Canada, FedDev Ontario has provided support through its Economic Development Initiative (EDI), which is part of the Roadmap for Canada's Linguistic Duality 2008–2013: Acting for the Future, the Government of Canada's strategy for official languages. Renewal of the Roadmap is under consideration at the time of writing this report. FedDev Ontario will continue to support southern Ontario's OLMCs through all of its programming.

Infrastructure

In 2013–14, FedDev Ontario will strengthen key partnerships with other federal departments and work closely with the provincial government, municipalities, First Nations, and other stakeholders to support investments in public infrastructure priorities across Ontario.

The Agency will deliver key programs in 2013–14, including the CIIF, which was announced in Budget 2012. This program is intended to support the rehabilitation and improvement, including expansion, of existing facilities, such as community centres, recreational buildings, local arenas, and cultural facilities. The CIIF allocation for Ontario is $49.6 million over two years (2012–13 and 2013–14), and the Agency will deliver the program across Ontario.

Other programs delivered by FedDev Ontario are the Building Canada Fund – Communities Component (BCF-CC), the Canada–Ontario Municipal Rural Infrastructure Fund (COMRIF), and the Municipal Rural Infrastructure Fund (MRIF) Top-up. FedDev Ontario is also administering the Brantford Brownfield Remediation project.

top of page

Program 1.4: Internal Services

Program Descriptions

The Internal Services program supports all strategic outcomes and is common across government. Internal Services are groups of related activities and resources that are administered to support the needs of programs and other corporate obligations of an organization. These groups are: Management and Oversight Services; Communications Services; Legal Services; Human Resources Management Services; Financial Management Services; Information Management Services; Information Technology Services; Real Property Services; Materiel Services; Acquisition Services; and Travel and Other Administrative Services.

Financial Resources ($ millions)
Total Budgetary
Expenditures
(Main Estimates)
2013–14
Planned Spending
2013–14
Planned Spending
2014–15
Planned Spending
2015–16
14.2 14.2 0.5 0.5
Human Resources (FTE)Footnote 13
2013–14 2014–15 2015–16

Footnotes

Footnote 13 FTE requirements for 2014–15 and beyond will be confirmed upon renewal of the Agency's core programming beyond 2013–14 (Return to footnote 13 referrer)

110

Planning Highlights

FedDev Ontario continues to focus its attention on creating a competitive southern Ontario economy. It will support the achievement of results through ongoing improvements to its internal services to support the achievement of the Agency's strategic outcome by providing the resources, guidance, support services and information necessary to design and deliver programs and services. The definition of internal services is broad. It includes policy development, research, evaluation, planning, risk management and executive functions. It also encompasses more traditional corporate services, such as access to information, information management, information technology, human resources, learning and training, communications, financial management and security.

As outlined in Budget 2012, the Agency will partner with the regional development agencies (RDAs) to seek opportunities to collaborate and share best practices, to eliminate duplication of activities, and to reduce operating costs while maintaining its commitment to deliver quality service to Canadians. FedDev Ontario's internal services will also work to ensure that the Agency is able to support projects with the greatest economic growth and job-creating potential in southern Ontario, ultimately supporting the Government of Canada's priorities and direction.

In its role as advocate for southern Ontario, FedDev Ontario will pursue opportunities to build federal and intergovernmental collaboration on issues of mutual interest. As the host of the Ontario Federal Council (OFC), the Agency will work with its federal partners to advance both the government's priorities in the region and the economic interests of southern Ontario on federal policy issues. An important advocacy role in 2013–14 will be FedDev Ontario's commitment to represent southern Ontario interests in the development of national procurement strategies and promote the capabilities of southern Ontario companies to contractors with Industrial Regional Benefits obligations or other federal procurement opportunities. The Agency will also seek to act as a facilitator for investors looking to do business in southern Ontario.

In 2013–14, FedDev Ontario will also continue to focus its efforts on building its reputation as a centre of knowledge regarding the economy of southern Ontario. This will be achieved through strategic research, data collection, analysis, and consultations with stakeholders. It will also continue to explore opportunities to develop forums and mechanisms to enhance coordination and collaboration with other stakeholders.

In addition, FedDev Ontario will continue its efforts to build awareness of the Agency and its role by promoting southern Ontario success stories that showcase the Agency's activities in the region. FedDev Ontario will continue to participate in conferences, trade shows, speaking events, and workshops to further engage with local communities and relevant sectors, and it will continue to make public announcements of its funding commitments to ensure that it is visible, accessible, and accountable to the public it serves.

FedDev Ontario will also leverage various technologies to improve internal infrastructure and align Agency activities with government-wide directives to support a more streamlined office and "greener" government. Sustained efforts to implement system and office improvements in 2013–14—including the full adoption of the Government of Canada's information management strategy for the transition to electronic document management by March 2014—will place FedDev Ontario as a model for a modernized workforce and workplace environment.

Through its understanding of the region, its partners and its clients, FedDev Ontario will continue to represent the southern Ontario perspective on key files, such as skills, manufacturing, infrastructure, and global commerce, and be better positioned to develop effective policies and programs.


Footnotes

Footnote 11 Key growth sectors for strategic SME–post-secondary institution collaboration projects include high-performance computing, context-aware computing, electric car technologies, advanced composite materials, food processing, bio-manufacturing, and cross-border logistics and security. These projects aim to help position southern Ontario as the "go-to" place for leading and high-growth manufacturers in these sectors. (Return to footnote 11 referrer)

Date modified: